Macro Afternoon

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Another generally mixed day in Asian risk taking given the poor performance on Wall Street overnight as the stronger USD weighs on markets.

Chinese stocks are really struggling here, with the Shanghai Composite down nearly 0.6% to be well below 2900 points although the Hang Seng Index has found a modicum of buying support, currently up 0.3% to be at 26536 points. Price is anchored below former trailing ATR support and the resistance zone at 27000 points as momentum flat lines:

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Japanese share markets have taken the poor CPI print in stride as Yen weakened slightly throughout the session with the Nikkei 225 about to close 0.3% higher to 23115 points, as it holds on above daily support levels above 23000 points. The USDJPY pair lifted higher at first but has stabilised in the afternoon to currently be at 108.60 and looks to finish the week flat as the risk proxy of choice provides uneasy direction:

The ASX200 is up nearly 0.5% higher going into the close, putting in a good finish to a poor week, currently at 6706 points, helped by a lower Aussie dollar which is hell bent on testing last week’s extreme low at the 67.70 level as negative momentum builds:

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Both S&P and Eurostoxx futures are flat with the S&P500 four hourly chart showing price still anchored at the previous trailing ATR support level at 3100 points – watch that downtrend line from the early week high:

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The economic calendar concludes the week with a speech from ECB President Lagarde followed by a slew of preliminary services PMI across the continent and in the US. Have a good weekend!