As deaths and confirmed cases of the new coronavirus increased significantly over the last week and spread internationally – Germany yesterday has its first case – several cities in Hubei province have been cordoned off and major cities in China are said to be like ghost towns. Now North Korea has completely closed its border with China and the Philippines today announced that it is suspending issuing visas on arrival for visitors from the Chinese mainland. The US raised its travel alert for China to level 3 (2nd highest). Today a chartered plane is expected to leave Wuhan for California carrying 230 (of the roughly 1000) US citizens living in the stricken city.
In a filing on Friday the US Securities Exchange Commission reported that MacKenzie Bezos, ex-wife of Jeff Bezos, sold $400 million worth of shares in Amazon which she had received as part of her divorce settlement.
DAX 30
Yesterday’s close below the bottom of this month’s small broadening top chart pattern has turned momentum bearish.
SHORT TERM TRADER: Short at 13460; stop above 13600. Target 13000.
POSITION TAKER: Square.
FTSE 100
Yesterday’s close completes the double top which built up over year-end, and has turned momentum clearly bearish.
SHORT TERM TRADER: Short at 7470; stop above 7650. Target 7200.
POSITION TAKER: Square.
S&P 500
Maybe we’ll try and close the gap opened up yesterday, but gapping lower on a Monday and bearish momentum is not exactly a good sign.
SHORT TERM TRADER: New short at 3260; stop above 3350. Target 3100.
POSITION TAKER: Square.
BRITISH POUND/US DOLLAR
Move along as there’s nothing to see here despite being just hours away from Brexit. The Times reports that Brussels has insisted that the Luxembourg-based European Court of Justice must have the power to rule on any post-Brexit agreement with the EU.
SHORT TERM TRADER: Small long at 1.3075; stop below 1.2900. Target 1.3500.
POSITION TAKER: Square.
EURO/US DOLLAR
Certainly been on a steady slide this month, a trend I have missed completely and am kicking myself for.
SHORT TERM TRADER: Square.
POSITION TAKER: Square.
GOLD
Though momentum is slightly bullish, gold’s bounce this week has not been reflected in all other precious metals.
SHORT TERM TRADER: New small long at 1578; stop well below 1540. Target 1610.
POSITION TAKER: Square.
