Draghi Confetti King

draghi confetti.png

picture courtesy of Victor Leonardi

  • No end in sight as Global Equity rout deepens (major stock market entered Bear Market zone)
  • China started the “confetti” fight this morning with a large cash injection into the market which failed to ease the system (for now)
  • This is PBOC largest cash injection in 3 years
  • BOJ not ready to do more easing – Nikkei throw tantrum
  • Reminiscence of 2015 August desperate move among central planners to bring back market confidence
  • Also good to note that the selling momentum since yesterday are showing some sign of exhaustion
  • However, as long as Oil rout continue to cause havoc then we cannot discount one more lower low in global equity
  • VIX, Bonds and Safe Haven are still being sought after

Currencies

Dollar Index – We are biased for a pullback but cannot rule out further strength due to safe haven demand

Weekly

USD/JPY – Note that the sell off may not be over yet – No easing from BOJ may further escalate this

Weekly

EUR/USD

Weekly

GBP/USD

Weekly

NZD/USD

Weekly

Equities 

FTSE

Weekly

STOXX – Measured AB=CD move complete confluence with RSI diverging and previous strong support zone

Daily

CAC – Worth watching as a turnaround cannot be rule out here while a lower low remains possible

Weekly

SPX

Daily

Commodities 

Oil – More Pain ahead unless we see a major shift

Daily

Copper – Will Chinese stimulus help copper for a short term rebound?

Weekly

Platinum – Bearish momentum but could test small long for decent RR

Daily

Palladium

Weekly

 

 

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s