Tuesday Market Recap
|Asset||Current Value||Daily Change|
|WTI Crude Oil||47.23||-0.32%|
Today’s very quiet trading day has been dominated by a North Korean test missile launch that underlines the growing tensions between the new president, the Chinese leadership, and the communist state. Despite the initial overnight dip in stock futures, global markets recovered and most of the major benchmarks are hovering around unchanged in the low volume low volatility environment. Busy trading is expected to resume on Wednesday, hen some fireworks are expected in stock, currency, and commodity markets alike, as the quarterly rebalancing operations often launch new trends.
AUD/USD, 4-Hour Chart Analysis
The Australian Dollar has been very active today, as the RBA delivered a slightly dovish message after the central banks rate decision. The Aussie fell sharply after the announcement despite the much better than expected Retail Sales data, and the recent bounce in the price of oil that usually helps the commodity currency. The Canadian Dollar is also active, but in a bullish way, as it is still boosted by the recent positive surprises in the economy, the Bank of Canada’s optimistic views, and the oil-rally.
The Chinese market has been consolidating in a narrow range for more than a week now, with the stability helping industrial commodities in staying strong, but the Shanghai comoposite might have hit strong resistance and today’s weakness could be a start of at least a re-test of the lower boundary of the rising wedge formation that it has been trading since the lows in May.
Shanghai Composite 4-hour Chart Analysis
The crypto market continues to show signs of healing, with the majors all drifting lower, correlations breaking down further, and some of the smaller coins rallying hard. While volumes are low and the current moves mostly lack strong momentum amid the weekend-like environment, Litecoins break-out to new highs definitely signals that the selling pressure that dominated last week’s trading eased somewhat, despite the fact that Ethereum is still stuck below $300, and Bitcoin is just barely above the crucial $2600 resistance.
Litecoin, 4-Hour Chart Analysis
Key Economic Releases on Tuesday
|6:30||AUSTRALIA||RBA Rate Decision||1.50%||1.50%||1.50%|
Key Economic Releases on Wednesday
|20:00||US||FOMC Meeting Minutes||–||–|
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