Charts Marked with anticipated entry setups in YELLOW and ideal setup in GREEN. There will be many possible scenarios shown so it is key to work off major levels and higher lows/lower highs once the price action unfolds. All prices refer to the CFD pricing from the charts below. Opening times (AEST) are 10am SPI/N225, 11:15/30am HSI, 4/5pm DAX and UK100 and 10:30/11:30pm DOW and USTech100.
OVERNIGHT MARKET SNAPSHOT FOR TUESDAY 28/06/22
US Indexes were well contained with the three being capped into new highs. Seems that there was some profit taking from the previous move up which could flow over into the coming US session. The USD pushed into and rejected support around 103.800 as traders await further economic data to get a better gauge on the pace of coming rate rises from the Fed. Russia is in a pickle as they default on its international bonds for the first time on more than a 100 years as sanctions cut off its assets. It will be interesting to see how this flows over into coming markets or how the war with Ukraine will escalate. I expect it will put a bid into oil which in turn will pressure stock markets. US bond yields are back on the rise which could see a bid back into the USD. ECB President Lagarde Speaks 6pm AEST and US Consumer Confidence at 12am AEST.
The ASX200 is expected to open FLAT after the SPI200 gave back early gains made in the European session. Price spiked up into 6634 before seeing some profit taking press price lower.
SPI200 (Sep) overnight futures up 1 pts to 6593
SP500 down 11.63 pts to 3900.11
NASDAQ Composite down 83.07 pts to 11524.55
Dow Jones up 62.42 pts to 31438.26
FTSE100 up 49.51 pts to 7258.32
DAX30 up 67.94 pts to 13186.07
GOLD futures US session (Aug) down $5.50 to $1824.80 an ounce
COPPER futures US session (Comex Sep) up $0.0143 to $3.7588 a pound
OIL futures US Session (Nymex Aug) up $1.95 to $109.57 a barrel
CRB Index up 0.23 pts to 298.78
AUDUSD trading at 0.6923
EURUSD trading at 1.0584
GBPUSD trading at 1.2266
USDJPY trading at 135.4300
USD Index US Session (ICE Sep) down 0.254 to 103.705
The SPI200/ASX200 has finally corrected its run up from 6375 off highs around 6634 on the SPI200. Price did find buying support above 6568 with the market being contained and flatlining into the US close. Watching for a ramp back up into 6634 off a higher low from the open to squeeze out sellers. If price fails from the open, watching the reaction from buyers around 6568. (Refer to the members area for updated ASX200 charts). The DOW was pretty choppy from the US open and held below 31600. Price action soaked up any selling into 31360 as price action looks to be trying to consolidate around highs…which suggests another spike higher. Watching the action into 31360 to see whether it wants to hold for a buy or fail for a short. The US Tech 100 was much the same as the DOW…contained session biased down on minor profit taking. The key levels to watch for me are around 11900 and then down around 11945 to see if either can hold a bid for a run back up into the highs around 12235. Hang Seng spiked hard from the open yesterday and kicked into 22400 resistance before failing lower. Price has contracted back to the longer term 100 EMA and is in a prime position to again push higher. In saying that, I expect a move lower to squeeze out some buyers today as the underlying index is extended…as usual, the opening drive will be key. The Nikkei held the 26925 level both during the day session and again at the start of the European session. Price grinded down into the US session but looks set to test 26685. The underlying index extended up into a resistance zone yesterday so may need to squeeze out some buyers prior to another move up. The DAX Index had a strange open with an initial spike through 13245 that turned and failed straight back down again. At this stage, I will be looking for a key higher low to hold and another move up after the recent downtrend was broken…potentially off 13115 or 13060. I expect that this will depend on the Asian market session. UK 100 Index managed to grind higher holding minor higher lows. Bulls look determined in pushing price up into 7321 so watching for a higher low to hold.
Cryptos flushed lower at the start of the US session to give bulls more headaches. Bitcoin flushed into potential support around 20776/20645. Buyers will need to hold this level otherwise I expect another move below the $20k level. Ethereum also flushed lower at teh start of the US session into 1187 which will need to hold to fend off another selloff.
Spot Gold remains choppy and disappointing for gold bugs who still believe in the inflation hedge. Price was supported around 1821 which I expect will hold up again today as the USD points lower. If the dollar rallies, then expect stops below 1821 to be targeted. Crude Oil moved higher as bulls provide support on the back of Russia default news. Expect that the support will continue to help buyers but I am watching for a move lower off 110.65 in the near term. USD Index flushed into 103.800 before bouncing but the action remains biased down. The reaction up hints at bulls willing to provide support so we could see the level hold into Consumer Confidence Data tomorrow night around the start of the US session.
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US Tech 100 Index
Hang Seng Index