by Chris Becker
Share markets are lifting across Asia with the ASX200 finally looking to put on gains, but still short of the 6000 point barrier:
Meanwhile the PBOC is on a tear again, this time reducing the Yuan fix from 7.0207 down to almost parity at 7.0085, taking advantage of USD weakness it seems! Offshore trading in Yuan has now slumped below the 7 parity level:
The Aussie dollar has an interesting setup against USD and on the crosses going into the end of the week. First, a possible bearish double top pattern on the four hourly chart as price is unable to get back up to the 70 handle and maybe ready to rollover:
To confuse matters though, the AUDJPY cross is still well on track, having its own battle against resistance at the 75 handle but not yet showing signs of rolling over as the risk proxy picks up again (i.e high correlation with rising stock markets):
Whereas my favourite anti-risk proxy – the Aussie/Kiwi cross – is setting up a bearish descending triangle, ready to break below the 1.06 handle on the daily chart:
But a series of much more troubling charts – the number of deaths from COVID-19 in the USA is starting to build up again, specifically because of the outbreaks in the SW/South. Close to 1000 new deaths per day and over 60,000 new cases per day to a new record high as positivity rates continue to be at startling levels:
