Asian indices finished lower today as investors turn cautious after better NFP data from the USA last Friday. The Nikkei225 finished 0.98 percent higher at 21,534 the Hang Seng slipped 1.54 percent at 28,331. The Shanghai Composite finished 2.58 percent lower to 2,933, while in Singapore, the FTSE Straits Times index finished 0.92 percent lower to 3,334. Australian equities finished 1.2 percent lower at 6,672.
European equities also trading lower today. DAX30 is giving up 0.18 percent to 12,546 CAC40 is 0.19 percent lower at 5,582 while the FTSE MIB in Milan is trading 0.13 percent higher at 22,015. The London Stock Exchange is 0,12 percent lower to 7,543 amid non-deal Brexit worries.
In commodities markets, crude oil trades 0.10 percent lower at $57.45 as traders turn cautious on trade war headlines. Brent oil trades also lower at $64,09 per barrel despite major oil producers have agreed to cut output. Gold today trades flat at 1,405 keeping the bullish momentum as the price holds above all the major daily moving averages. On the upside, strong resistance will be met at 1,437 the daily high.
In cryptocurrencies market, bitcoin (BTCUSD) trades at 11,879, hitting the daily low at 11,306 and the daily high at 11,958. Immediate support for BTC stands now at $9,600 the low from July 2nd while next support stands at 9,000. On the upside, strong resistance now stands at 11,958 the daily high and then at 12,000 round figure. Ethereum (ETHUSD) trades higher at 306 with capitalization now to 32.90 billion. On the upside, the immediate resistance stands at 312 round figure, while the support stands at 243, the 50-day moving average. Litecoin (LTCUSD) also trades higher at 120. The crypto market cap now stands above $336.0 billion.
On the Lookout: President Erdogan fired Murat Cetinkaya. Governor Cetinkaya, whose term was due to 2020, was replaced by deputy Murat Uysal, who was the deputy governor for three years and is one of the more dovish members of Policy Committee. Economists’, now looking Turkey’s central bank to start easing interest rates policy at July 25 meeting.
German industrial production output rose 0.3% m/m in May, easing investors worries of a slowdown in Europe’s largest economy. On an annualized basis, the German industrial production came in at -3.7% versus -1.1% expected and -1.8% booked in April. Germany May trade balance came in at €20.6 billion above analysts’ forecasts of €17.0 billion.
Trading Perspective: In forex markets, USD trades 0.13 percent higher at 97.29 after strong NFP data last Friday. The Aussie dollar consolidates below 0.70 after ANZ Job Ads for June increased 4.6% to 159k in June but is still down 9.1% over the year, while Kiwi trades lower at 0.6633.
GBPUSD is trading flat at 1.2521 as traders are still cautious around the Brexit developments. Major support now stands at 1.25 which if broken might accelerate the slide further towards 1.2460 round figure. On the upside immediate resistance now stands at 1.2684 the 50-hour moving average while more offers will emerge at 1.27 round figure.
Sterling futures markets open interest increased by 10.800 contracts while volume also increased by 47,000 contracts.
EURUSD trades flat at 1.1220 after German industrial production output rose 0.3% m/m in May, easing investors worries of a slowdown in Europe’s largest economy. On an annualized basis, the German industrial production came in at -3.7% versus -1.1% expected and -1.8% booked in April.
Euro futures markets open interest increased by 6.000 contracts while volume also increased by 92,400 contracts.
USDJPY is trading 0.07 percent higher at 108.54 having hit the daily low at 108.25 and the daily high at 108.57. USDJPY pair will find support around 108 round figure and then at 107.50. On the upside, immediate resistance for the pair now stands at 108.57 the daily high and then at 109.07, the 50-day moving average.
USDCAD consolidates below the 1.31 level at 1.3067 while the daily high was at 1.3082, despite the crude oil prices retreat, Canada’s main export item seems to have added further weakness in the Canadian Dollar (CAD). The pair will find immediate support at 1.3060 the low from February 1st while extra support stands at 1.30 round figure. The pair has reached oversold levels so a rebound can’t be ruled out. On the upside immediate resistance now stands at the 1.32 zone before an attempt to 1.3450 recent high from 31st May.