By Chris Becker
Markets are again swinging between hope and delusion with equity markets pushing higher as the oil price “rallied” from its extreme oversold lows, while another round of probably near useless US stimulus announced by Congress was not overshadowed by the reality of still more growing number of new cases of COVID-19 around the world. Commodities lead the charge with industrials like copper lifting over 2% alongside iron ore and gold, which is now solidly moving higher above $1700USD per ounce again.
Looking at Asian share markets from yesterday where the Shanghai Composite surged going into the close to finish some 0.6% higher at 2843 points while the Hang Seng Index also lifted late to finish up 0.4% to 23893 points, as daily price action bounces back from the rollover lows from yesterday. Daily momentum is still not positive here with resistance overhead (short black line) at the 24600 point level unable to be breached:
