By Chris Becker
The dead cat is now in hover mode as Wall Street was unable to translate epic gains in Asia then Europe into anything substantial, with the NASDAQ actually retreating slightly despite the substantial stimulus packaged passed by Congress. While the USD retreated slightly against the majors, gold suffered a small pullback after its two day surge, with 10 year Treasury yields pulling back below the 0.8% level again.
Looking at Asian share markets yesterday, where the Shanghai Composite closed over 2% higher at 2781 points while the Hang Seng Index surged nearly 4% higher, now at 23527 points, finally breaking above its high moving average on the daily chart. The daily chart showed significant anchoring and firming support just above the 21000 point level and with momentum now crossing over this has all the hallmarks of a proper swing trade, possibly as high as 25000 points:
