Charts Marked with anticipated entry setups in YELLOW and ideal setup in GREEN on market opens. 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.
PROCESS IS KEY….DEFINE LEVELS – MARK EXPECTED PRICE ACTION – TRADE THE SETUPS
All prices refer to the CFD pricing from the charts below off TD365.com. Opening times (AEST) are SPI/N225 at 10am, HSI at 11:15/30am, DAX and UK100 at 4/5pm and DOW and USTech100 at 10:30/11:30pm .
OVERNIGHT MARKET SNAPSHOT FOR MONDAY 29/08/22
Asian market Indexes went lower from the open as they followed on from the negative US session Friday. The Nikkei took the biggest hit ending down 2.66% while the ASX200 ended down 1.95% and the Hang Seng fared better ending down only 0.73%. The Hang Seng has been hit hard the last month and a half while other major indexes have rallied….so it seems that the sellers may have run out of steam so could be an index to watch in coming sessions. Going into the US open, the DAX is weaker while the UK100 is closed for the session. The USD initially rallied into daily resistance but has since backed off and is back down to where it started into the Asian market open. Gold has carried on with the negative momentum and moved down still struggling to find buyers. The major Indexes have largely been range bound for the day as it seems all eyes are on the US open to see whether bargain hunters provide support or whether we have to start battening down the hatches with more selling to come. FOMC Member Brainard Speaks at 4:15am.
Major markets have been weak on the opens but as yet, not followed on with the negativity from Friday. I feel that many traders are expecting a bounce in to the US markets so are happy to consolidate the losses for now. I will be happy to let the open play out and potentially establish a range…trade the edges while being on guard for a breakout. Remember the day after trend can often be range bound.
Prices as at 10:30pm AEST
ASX200 Index down 138.6 pts to 6965.5
Nikkei Index down 762.42 pts to 27878.89
Hang Seng Index down 146.82 pts to 20023.22
Dow Jones Futures down 226 pts to 32037
FTSE100 Index closed
DAX40 Index down 95.67 pts to 12875.80
GOLD futures (Spot) down $3.86 to $1734.10 an ounce
OIL futures (Sep) up $1.24 to $94.30 a barrel
AUDUSD trading at 0.6903
EURUSD trading at 1.0024
GBPUSD trading at 1.1729
USDJPY trading at 138.4700
USD Index (Sep) down 0.301 to 108.554
The DOW is consolidating the lows into the open. Price is holding above 31975 lows but has not filled the gap up to 32237 as yet. I expect a flush higher to put the squeeze on some shorts and then more downside potentially. From here, price is range bound with neither bulls or bears committing to a move. The US Tech 100 has also been generally range bound between 12397 and 12515 and is yet to fill the gap up to 12575. Will bee looking for a gap fill and watching for a higher low or a lower high and extension down to 12190. The DAX opened weaker but has since grinded its way back up to close the gap to 12855. Watching to see if we get a lower high to retest the lows into 12713. The UK100 underlying index is closed.
Cryptos opened the Asian market session weaker after moving lower over the weekend. Bitcoin is holding up off 19570 lows but the grind up is not convincing…feel that it may be dragging in some buyers before a push lower. Ethereum is much the same as price is holding up off 1425 but not convincing from buyers.
Spot Gold flushed 1730 at the start of the Asian session and moved down into 1730 before bouncing back up again. Price is being held down at 1739 so as long as this level holds, the move down is in tact. I feel that Gold bulls will look to squeeze out some sellers on any move down in the USD.
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US Tech 100 Index
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