A strong unemployment print locally buoyed Aussie stocks as the rest of Asia sold off on the back of a much lower Yuan while the BOJ tapers its bond buying program. The Japanese are also wary given the growing trade surplus with the US, with Wall Street confidence also to be tested later tonight as earnings season continues.
The Shanghai Composite sold off again going into the close, down 0.6% to 2771 points as it continues to reject former support at 2800 points. The Hang Seng Index slipped, only down a few points to close at 28084, hoverining at a tentative bottom here on the daily chart at 28000 but looking ominously ready to breakdown :
S&P futures are also slipping alongside Eurostoxx, with the latter indicating a 0.1% fall on the open. The S&P500 four hourly chart suggests a possible reversion to the mean as prices hit the upper end of this trend channel, but support at trailing ATR support continues to rise up to the 2800 level:
Japanese stocks finally stopped their surge with minor losses as a weaker Yen failed to support, with the Nikkei 225 down 0.1%, closing at 22764 points, but still looking quite firm on the daily chart. The USDJPY pair is trying to push back up to the 113 handle, after previously making a new weekly high as this continuation pattern continues to move sideways with a bullish bias:
The ASX200 was the bright spark and lifted on the very solid jobs report, closing some 17 points or 0.3% higher to close at 6262 points, continuing its bounce off support at 6200 points . The Aussie dollar was all over the place on the jobs print, having been prepositioned the night before with a bounce up to the 74 handle. This has since reverted as traders analyse the data closely, indicating the RBA is still unlikely to move anywhere soon:
The data calendar is relatively quiet tonight with the only release of note being weekly initial jobless claims in the US.