Asian Equities Higher, Gold Consolidates Around 1,490

Asian indices finished mostly higher today as traders expect stimulus from central banks. Traders will closely watch the release of the ECB decision this Thursday. The Hang Seng ended 1.78 per cent higher at 27,159, the Nikkei225 in Japan ended 0.96% higher at 21,597. The Shanghai Composite trading 0.41 per cent lower to 3,008, while in Singapore the FTSE Straits Times index finished 1,33 per cent higher at 3,197. The ASX 200 in Australia finished 0.36% higher at 6,638.

European equities started higher today, DAX30 is 0.72 per cent higher to 12,356, CAC40 is 0.21 per cent higher at 5,604 while the FTSE MIB in Milan is 0.42 per cent higher at 21,959. In London FTSE 100 is trading 0.80% higher at 7,326. UK is scheduled to leave the EU on October 31.

XAUUSD Daily Chart

In commodities markets, crude oil trades 1.46 per cent higher at $58.24 as traders turn cautious on recent trade war escalation and global growth concerns. Brent oil is trading 1.28% higher at $63,18 per barrel as major oil producers have agreed to cut output. Gold trades lower around 1,493 keeping the bullish momentum as the price holds above all the major daily moving averages. On the upside, strong resistance will be met at 1,555.13 recent high.      

In cryptocurrencies, Bitcoin (BTCUSD) trading lower at 9,985, hitting the daily low at 9,841 and the daily high at 10,252. Bitcoin short term momentum is neutral now as it trades above the 100-day moving average and below the 50-day moving average. Immediate support for BTC stands now at $9,258 recent low, while next support stands at 9,000. On the upside, strong resistance now stands at 13,138 recent high and then at 13,500 round figure. Ethereum (ETHUSD) trades lower at 176,57 with capitalization now to 19.2 billion, on the upside, the immediate resistance stands at 317 high while the support stands at 136 the low from May 6th, Litecoin (LTCUSD) trades lower at 6999.98. The crypto market cap now stands above $258.3 billion.

On the Lookout: The central bank of China set the Yuan rate (USDCNY) at 7.0843 versus yesterday fix at 7.0846.

Australia’s Westpac-Melbourne Institute Index of Consumer Sentiment came down to 98.2 in September from 100 in August. Japan BSI Large Manufacturing Conditions Index (quarter over quarter) came in at -0.2 in 3Q from the previous reading of -10.4.

Trading Perspective: In forex markets, USD index trades 0.16 per cent higher at 98.49, the Aussie dollar trades 0.07 per cent higher at 0.6865, while Kiwi trades 0.07% lower at 0.6418.

GBPUSD trades 0.04% higher at 1.2357. Major support now stands at 1.2078 recent low which if broken might accelerate the slide further towards 1.20. On the upside, immediate resistance now stands at 1.2530 the 100-day moving average while more offers will emerge at 1.2744 the 200-day moving average.

EURUSD trades 0.15% lower at 1.1026, ahead of the ECB decision tomorrow. Immediate resistance for the pair stands at 1.1137 the 50-day moving average and then at 1.1185 the 100-day moving average. On the downside, immediate support stands at 1.1022 today’s low and then at 1.0925 YTD low.

USDJPY is trading 0.17% higher at 107.71 having hit the daily low at 107.48 and the daily high at 107.84. USDJPY pair will find support at 104.44 the low from August 23rd. On the upside, immediate resistance for the pair now stands at 108.21 the 100-day moving average and then at 109.49 the 200-day moving average. 

USDJPY Daily Chart

USDCAD is trading 0.01 higher at 1.3152, the pair will find immediate support at 1.3017 the YTD low while extra support stands at 1.30 round figure. On the upside, immediate resistance now stands at the 1.3356 high from September 3rd before an attempt to 1.3450 high from 31st May.