CNBC announced overnight that any meeting between Presidents Xi and Trump will not take place until after the 1st March because the latter has too much work to do preparing for his upcoming tete-a-tete with North Korea’s Kim Jong Un. US economic adviser Larry Kudlow said earlier that there’s ‘’a pretty sizeable difference before’’ a trade deal happens and Sino-US relations improve.
Data this morning from Germany shows that its trade surplus slumped in December to 13.9 billion euros from 19 billion in November, the smallest in well over 3years. One can only guess that, like JLR in the UK, big, expensive diesel cars are getting hard to shift. Tata shares in Mumbai, parent of JLR, slumped by up to 30 per cent this morning, for the biggest one-day fall in over 26 years, the Financial Times reports.
DAX 30
Something resembling a proper candle yesterday as the market is rejected from the 50 per cent retracement level taken from October’s high and we drop below long term trend line support.
SHORT TERM TRADER: Small short at 11180; stop above 11400. First target 10600.
POSITION TAKER: Might consider selling at today’s close.
FTSE 100
Retreating from the Fibonacci 61 per cent retracement level from October’s high.
SHORT TERM TRADER: Watching this week’s candle to see whether we’ve at last found an interim high to this year’s corrective bounce.
POSITION TAKER: Square.
S&P 500
Odd, slow price action over the last 3 weeks as we retrace a Fibonacci 61 per cent of the slump in Q4 2018.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
BRITISH POUND/US DOLLAR
A large dragonfly doji yesterday just ahead of 50 per cent retracement support hints that we may have found an interim low.
SHORT TERM TRADER: New little long at 1.2935; stop below 1.2825. Target 1.3200.
POSITION TAKER: Square.
EURO/US DOLLAR
Sagging again as the spat between the Italian and French governments intensifies. Yesterday the French Ambassador to Rome was recalled in protest at 5 Star’s Luigi Di Maio’s meeting with some of the gilet jaunes senior figures in France.
SHORT TERM TRADER: New small long at 1.1335; stop a bit below 1.1285. Target 1.1500.
POSITION TAKER: Square.
GOLD
Moving ever so cautiously.
SHORT TERM TRADER: Small short at 1317; stop above 1328. Target 1240.
POSITION TAKER: Square.
