By Chris Becker
With the Brexit Parliamentary vote now a distant memory, and the US government shutdown pressing on regardless – with no key economic data being released as well – markets are focused on other matters like earnings reports, which have buoyed US stocks overnight. Stability came back to Pound Sterling while the USD pushed higher against Yen and Aussie dollar, which should help domestic stocks today.
Looking at Chinese stocks first from yesterday, where the Hang Seng Index closed only 0.3% higher to 26902 points, still building above the breach of the weekly downtrend channel (black line) on the daily chart and rebuffing the previous clawback to the moving average band. Note how price is clustering well above the high moving average and is building for a more sustained breakout above resistance at 27000 points:
