Asian Indices Mixed, Gold Trades Higher

Asian indices started the Christmas week mixed in thin volumes as investors looking for direction while the stocks are close to multi-month highs after President Donald Trump said that phase one of the trade deal would be signed shortly.

The Nikkei 225 index ended 0.02% higher at 23,821. The Hang Seng index is 0.05% lower at 27,857. The Singapore FTSE Straits Times benchmark is 0.01% higher at 3,212, while the Shanghai Composite is 1.20% lower at 2,968. The ASX 200 finished 0.46% lower at 6,785.  

European indices trade mixed in narrow trading ranges. DAX is 0.20% lower at 13,293, the CAC40 is 0.01 per cent higher at 6,022 while the FTSE MIB in Milan is 0.54 per cent lower at 23,877. In London, the FTSE 100 is 0.26% higher at 7,601. 

christmas week
XAUUSD Daily Chart

In commodities, the crude oil trades 0.46 per cent lower at $60.16 retreating from two-month highs after OPEC+ agreed to reduce oil output by 500,000 barrels per day until June. Brent oil is trading 0.37% lower at $64.96 per barrel on improved global growth prospects.

Gold prices trade 0.40% higher at 1,483. The short term momentum is neutral as the gold price breaks above the 20-day Moving Average and 50-day moving average but below the 100-day Moving Average. The first resistance stands at 1,555.13 YTD high, while support is at 1,448 the recent low.  

In crypto markets, Bitcoin trades 0.30% higher at $7,495 hitting the daily low at $7,362 and the daily high at $7,631. BTCUSD momentum is neutral now as the crypto pair trades above the critical $7,000 mark. First support for bitcoin stands now at $6,400 recent low, while the next support level holds at 6,000 round figure.

On the other hand, resistance stands at 9,925 high and then at 10,000 round figure. Ethereum trades higher today at 130.54 with capitalization now at 14.42 billion, on the upside resistance for Ethereum stands at 200 recent high while the support stands at 117.09 the previous week low, Litecoin (LTCUSD) is trading higher at 41.34. The crypto market capitalization is $197.79 billion.

christmas week
BTCUSD Daily Chart

In the Lookout: Australia Private Sector Credit (MoM) came in at 0.1%, below forecasts of 0.3% in November, the yearly reading for Private Sector Credit came in at 2.3%, the previous reading was at 2.5%.

The Japan Leading Economic Index came in at 91.6 below the forecasts of 91.8 in October, the Coincident Index came in at 95.3, beating expectations of 94.8. 

The central bank of China (PBOC) set the Yuan reference exchange rate (USDCNH) at 7.0117 versus yesterday’s settlement at 7.0020.

Trading Perspective: In fx markets, the US dollar index trades 0.03 per cent lower at 97.65, the AUDUSD trades 0.33 per cent higher at 0.6920. NZDUSD trades 0.34% lower at 0.6624. USDCHF is 0.14% lower at 0.9812.

GBPUSD trades 0.01% higher at 1.2995  as we are getting closer to the Brexit deadline on January 31st, 2020. The first support for the sterling against the dollar now stands at 1.2578 low which if broken, might push the pair further down towards 1.20. On the upside, the first resistance will be met at 1.3511 recent high.

EURUSD trades 0.08% higher at 1.1084 as the pair’s momentum is positive now for the short term. The first resistance for the eurodollar stands at 1.1199 recent high. On the other hand, the first support is at 1.1072 today’s low and then at 1.10.

USDJPY is trading 0.02% lower at 109.39, having hit the daily low at 109.33 and the daily high at 109.53. USDJPY pair will meet support at 105.43 the low from August 22nd. On the upside, resistance for the USDJPY now stands at 109.69 recent high.

USDCAD trades 0.04% higher at 1.3147, the pair will meet first support at 1.3017 the YTD low while the next support level stands at 1.30 round figure. On the upside, resistance will be met at the 1.3355 the top from September 3rd before a move up to 1.3450 high from 31st May.