by Chris Becker
Outside of China, stocks have continued their strong surge on the hopes of a coronavirus vaccine and for a strong showing in US earnings. Gold remains elevated above the $1800USD per ounce level while Bitcoin is struggling again at a new daily low.
In mainland China, the Shanghai Composite is down nearly 1.5% to 3361 points while in Hong Kong the Hang Seng Index is off by 0.45% to 25394 points. The daily chart shows price now retracing all of last week’s breakout with momentum readings swinging to a swing short position as support at 25000 points comes under pressure:
Japanese stocks came back strongly after the previous stumble, with the Nikkei 225 surging over 1.5% higher to close at 22945 points. The USDJPY pair is largely unchanged after its failed swing higher overnight, still remaining just slightly above the 107 handle yet still stuck below former trailing ATR support and the 107 handle at its recent weekly lows going into the City open:
The ASX200 gapped higher at the open and stayed above 6000 points throughout the session, closing some 1.9% higher to 6052 points. The Australian dollar finally made a move, shooting above the 70 handle for the first time since early June, completing a rectangle pattern that has been in the works for nearly two weeks:
Eurostoxx futres are up over 1.4% while S&P futures are up nearly 1% with the four hourly chart of the S&P500 looking choppy indeed after last night’s reversal, with price looking to bounce off the 3200 point level to make a new high:
