Refer to charts for comments on expected price action. Charts Marked with anticipated entry setups in yellow.
Better than expected employment data in the US increased inflation fears and a risk off tone into the US open. Ukraine concerns continue to pressure safe havens as Europe took a hammering with the DAX and FTSE ending down 3.48% ad 4.58% respectively.
The SPI200/ASX200 were under pressure for most the European session but a late surge higher in US trade saw them end with gains for the night. Seems that buyers expect prices higher on the back of commodities and squeezed out any sellers into the close. The ASX should open higher although I will be reluctant to buy unless I see a higher low build. If price flushes higher into resistance on the open, then I will watch for a lower high and a sell setup off resistance. The DOW held below the 33710 level and also held a retest into support around 33285. If 33710 holds today and price pressures lower in the Asian and European sessions, I expect to see a break down through 33285 which may see sellers pressure lower. Hang Seng continued to find weakness and looks set to push into some daily lows around 21300. Price is being held down at 21690 and bias down so expecting to see any buyers on the open find some selling pressure for a lower high to build. Recent sessions have seen spikes fail and sellers make new lows. The Nikkei took a hit at the start of Fridays session and the pressure continued into the US close. Will be watching the 25870 and 25940 levels on the open as buyers may want to flush out some sellers prior to another leg lower.
Cryptos were weaker into the close of the US session and held that weakness over the weekend. Both Bitcoin and Ethereum moved down into support which they tested and chopped around over the weekend so I expect the support to be tested and will be watching for further weakness today. If the support zones hold then a higher low could lead to a squeeze higher on recent sellers.
Spot Gold pushed higher as expected and tested into the 1973 highs. Price could easily power through the level on the continued safe haven bid but I do expect some reaction lower off the level prior to any continued move up.
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Hang Seng Index