Not the most positive end to the week here in Asia with stocks slipping into the red on the US-China trade talks breakdown. As Europe wakes up more peripheral news hits the wires, particularly the Italian budget but also continued pressure on Turkey with the USD flexing its muscles once again versus the emerging market currencies.
The Shanghai Composite has finished poorly, closing 0.5% lower to 2725 points as it continues to reject dominating overhead resistance at the 2800 point level. The Hang Seng Index is down ever further, off about 1% to 27810 points, unable to hold above previous terminal support at 28000 points as daily ATR resistance proves too high this week:
S&P futures are down slightly with Eurostoxx retracing about 0.2% as markets continue to re-assess the risk of the ongoing trade war:
Japanese stocks continue to do nothing much here with the Nikkei 225 falling only very so slightly, down 0.1% to close at 22865 points. The USDJPY pair is just holding on above the 111 handle after last night rejecting overhead resistance at the 111.70 level as Yen buyers have their fill. This is a new session low for the week and we could see further falls tonight down to 110.60 or so:
The ASX200 fell approx. 0.5% but still finished the week above previously cleared key resistance at 6300 closing at 6319 points. The fall in the Aussie dollar continues, back down to last week’s session lows at the 72.40 level as overhead resistance at the 73.70 level provides the uncle point for short positions for next week:
The economic calendar closes the week with EZ wide CPI and a private US oil rig count.
Have a good weekend!