Stocks...
Spu’s…1950 will act as resistance. Anything over 1964 is an exit zone the first time up.
Bonds …
Bunds…153.82 is first fib support.
FX…
AUD/JPY…is pretty much the same chart as the Spu’s. 86.86, last night’s high,is first fib resistance.
GBP/JPY…189.90-190.24 is resistance and the upside closing pivot. This cross has been lining up with the lows in the Equity indices. In July it was 185.20.
Commodities…
OIL… 39.80 followed by 40.70 is resistance. Closing over 41.50 should lead to a good short covering rally.
OIL… 39.80 followed by 40.70 is resistance. Closing over 41.50 should lead to a good short covering rally.
General Comments or Valuable Insight
As long as we hold yesterday’s close in the Spu’s I’m not looking for more downside.
Instruments are trading in unison.
I.E. dollar weakens when the equity Indices break and the Bonds receive a flight to quality bid.
I’m not ruling out another small retest lower in the indices sometime today into tomorrow however the lows in all the names like GOOGL,AMZN,IBB FB, NFLX look to be in.
The board reversed with the start of the Asian session. Investors will be chasing strength the rest of the day.