See the latest Australian dollar analysis here:
Asian share markets have ignored the good lead from Wall Street overnight and have continued their very mixed start to the trading week with Chinese equities selling off fast in the wake of the US/Allied sanctions, while Japanese and local markets tread water. Bitcoin is really struggling here going into the European session with another session low on the four hourly chart broadcasting more downside to follow with last week’s intrasession low at the $53K level not far away:
The Shanghai Composite is down over 1% going into the close, currently at 3409 points as it takes back all of the previous gains while the Hang Seng Index is following in suit, down 1.1% to 28545 points. Japanese markets however are holding fast with the Nikkei 225 currently looking at a scratch session after losing 2% yesterday, hovering at the 29161 point level as the USDJPY pair continues to oscillate around the high 108s as momentum points to a possible breakdown soon:
The ASX200 is also putting in a scratch session, down just one point to be at 6751 points while the Australian dollar has failed to recover it gap down position from the start of the week, now hovering just above the 77 handle and looking sketchy going into the European open:
Eurostoxx and S&P futures are nominally flat so far, with the four hourly chart of the S&P500 showing price wanting to stop truly breakout above the key 3900 point psychological level with last night’s fill barely holding here as momentum readings remain negative:
The economic calendar includes the latest UK unemployment figures, plus a series of US Fed official speeches, including Chair Powell’s testimony to Congress.