© 1982-2023 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

MNI China Daily Summary: Monday, August 28

MNI BRIEF: Japan Govt Keeps  Economic View; Cuts China Outlook

MNI: China CFETS Yuan Index Up 0.14% In Week of Aug 25

US Treasury Auction Calendar

MNI: AUSTRALIA JUL RETAIL SALES +0.5% M/M

China’s Official PMIs and Caixin Mfg PMI Due This Week

MNI BRIEF: China Will Look To Belt & Road Amid Trade Tensions

MNI BRIEF: BOC Staff Paper Sees Few Signs Of 'Greedflation'

MNI BRIEF: Canada Raises Bank Capital Buffer On Housing Risk

MNI US Morning FX Technical Analysis 

By Les Castell
Click below for today's MNI US Morning FX Technical Analysis Report -
http://tinyurl.com/jz5y37x
EURO-DOLLAR TECHS: Through $1.1725-$1.1754 Resistance Remains Key To Revival
*RES 4: $1.1810 61.8% Fibo of $1.1996-$1.1510
*RES 3: $1.1792/95 1.618 swing $1.1725-$1.1617, 1% vol band
*RES 2: $1.1751/54 May 24 high, 76.4% of $1.1830-$1.1510
*RES 1: $1.1725/29 May 31, May 28 highs
*PRICE: $1.1694 @0820GMT 
*SUP 1: $1.1641/54 May 31 low, hourly base Jun 1
*SUP 2: $1.1615/17 Hourly congestion May 28-30, Jun 1 low 
*SUP 3: $1.1590/94 Recovery high May 29, hourly base May 30
*SUP 4: $1.1562 1% volatility band
*COMMENTARY* Thursday's rally fell just shy of a $1.1729 challenge, the base of
next key resistance area between there and $1.1754. The subsequent setback on
Friday, lost support briefly from $1.1645, a dip towards next $1.1615 level,
before bouncing again. Back above $1.1715 would help, ahead of
that $1.1725-$1.1754. Directly above and look to $1.1792-$1.1795as being in the
way of a look at next upside target at $1.1810-$1.1830.
CABLE TECHS: Oversold But Recovery Still Lacking Any Real Urgency
*RES 4: $1.3520 76.4% Fibo of $1.3618-$1.3204
*RES 3: $1.3476/81 1% vol band, 23.6% Fibo of $1.4377-$1.3204
*RES 2: $1.3460 May 10 low, 61.8% of $1.3618-$1.3204
*RES 1: $1.3411/22 50% of $1.3618-$1.3204, May 24 high
*PRICE: $1.3389 @0944GMT
*SUP 1: $1.3346 Intraday low
*SUP 2: $1.3305 Hourly base Jun 1
*SUP 3: $1.3283 Hourly low Jun 1
*SUP 4: $1.3254 Jun 1 low
*COMMENTARY* Didn't lose as much ground as others last week, holding on to
$1.3204 support. The subsequent recovery has been relatively slow however,
taking a while to deal with $1.3299-$1.3305 resistance. Has since moved through
here but now needs to show some relish above $1.3370, which would open up
$1.3411-$1.3470 potential. Meanwhile, $1.3346-$1.3305 provides support, with any
loss putting pressure back on $1.3283 and then Friday's $1.3254 low.
DOLLAR-YEN TECHS:  Y109.75-Y109.83 Resistance Still Proving Troublesome
*RES 4: Y110.62 76.4% Fibo of Y111.40-Y108.11
*RES 3: Y110.49 1% volatility band
*RES 2: Y110.14 61.8% Fibo of Y111.40-Y108.11
*RES 1: Y109.75/83 50% Y111.40-Y108.11, Jun 1 & May 25 highs
*PRICE: Y109.47 @0840GMT
*SUP 1: Y109.20/30 Hourly support
*SUP 2: Y109.08 May 30 high, now support
*SUP 3: Y108.72 Jun 1 low
*SUP 4: Y108.39 May 31 low
*COMMENTARY* The recovery from last Tuesday's drop to Y108.11 has finally
reached the base of Y109.75-Y109.83 resistance, where it has been halted over
the last couple of days. While capped here, then look for support from between
Y109.30-Y109.08. Loss of the latter would spoil recent upside momentum and see
scope for a Y108.72-Y108.39 fall. Above Y109.83 and scope for a higher
Y110.14-Y110.62 recovery, as the correction of losses from Y111.40 unwinds.
EURO-YEN TECHS: Rally Has Next Resistance Spread Between Y128.53-Y128.95
*RES 4: Y129.23 May 8 low, now resistance
*RES 3: Y128.95/06 Mar 22 low, 1% volatility band
*RES 2: Y128.80 61.8% Fibo of 131.38-124.62
*RES 1: Y128.53/54 May 25, May 28 highs
*PRICE: Y128.22 @0855GMT
*SUP 1: Y127.50/60 Hourly support
*SUP 2: Y127.13/18 Jun 1 low, hourly base Jun 1
*SUP 3: Y126.81 Hourly low May 31
*SUP 4: Y126.33 May 31 low
*COMMENTARY* Has continued to regain ground, following last week's exhaustion
spike to the base of the 4 month bear channel. Having moved above Y128.00, the
next resistance to note is from Y128.53-Y128.54 and then the 61.8% Fibo retrace
of the Y131.38-Y124.62 fall, at Y128.80. These ahead of two previous
Y128.95-Y129.23 lows. As a consequence, support also rises, Y127.60-Y127.50
initially, the Y127.18-Y127.13 area of more importance below.
EURO-STERLING TECHS: Stg0.8810 Proves The Bar To Further Recovery Prospects
*RES 4: Stg0.8886 61.8% Fibo of Stg0.8968-Stg0.8620
*RES 3: Stg0.8841/42 1% volatility band, May 4 high
*RES 2: Stg0.8809/10 Jun 1, May 8 highs
*RES 1: Stg0.8780/90 Hourly resistance
*PRICE: Stg0.8761 @0907GMT
*SUP 1: Stg0.8724/28 Jun 1 low, initial recovery May 29
*SUP 2: Stg0.8697 May 29 low
*SUP 3: Stg0.8673/81 76.4% Stg0.8620-Stg0.8842, Apr 26 low
*SUP 4: Stg0.8665 1% volatility band
*COMMENTARY* Snakes and ladders last week saw the Stg0.8810-Stg0.8697 range
fully exploited, most latterly failing at Stg0.8809, basically a 76.4% Fibo
retrace of the Stg0.8842-Stg0.8697 fall, seen since the beginning of May. Will
need through here, before the chance of a Stg0.8842 return where the upper 1%
volatility band also resides. Support within the range at Stg08728-Stg0.8724,
this dealt with Friday's setback.
AUSSIE TECHS: Has $0.7642-$0.7666 Resistance To Deal With Next
*RES 4: $0.7716/18 43 2% vol band, 76.4% of $0.7813-$0.7412
*RES 3: $0.7690 38.2% Fibo of $0.8136-$0.7412
*RES 2: $0.7660/66 61.8% $0.7813-$0.7412, 30 month suppt line
*RES 1: $0.7642/47 1% volatility band, intraday high
*PRICE: $0.7647 @0924GMT 
*SUP 1: $0.7605/15 Hourly support
*SUP 2: $0.7594 May 31 high, now support
*SUP 3: $0.7560/73 Hourly base Jun 1, Jun 1 high
*SUP 4: $0.7540 Hourly congestion area May 23-28
*COMMENTARY* Recovery has broken above the 2018 falling resistance at
$0.7638-$0.7618, depending on whether you look at the daily or weekly chart.
Trying to deal with resistance from the upper 1% volatility band and then the
base of the previously broken 30 month support line at $0.7666. Further
clearance through here will encourage, $0.7690-$0.7718 then next targets higher.
Support currently from above $0.7615-$0.7605, Thursday's $0.7594 high below.
DOLLAR-CANADA TECHS: Recovery Still Troubled By 2 1/2 Year Resistance Line
*RES 4: $1.3047/54 May 29 high, 1% volatility band
*RES 3: $1.3020 Hourly recovery high May 30
*RES 2: $1.2994/08 76.4% of $1.3047-$1.2818, Jun 1 spike high
*RES 1: $1.2975/85 Hourly resistance
*PRICE: $1.2912 @0934GMT
*SUP 1: $1.2895 Hourly recovery high May 30, now support
*SUP 2: $1.2859 Initial recovery high Jun 1, now support
*SUP 3: $1.2818/26 May 31, May 23, 30 lows 
*SUP 4: $1.2804 76.4% Fibo of $1.2729-$1.3047
*COMMENTARY* Having found support from $1.2818 last Thursday, then proceeded to
correct the previous fall from $1.3047 by just over 76.4%, with Friday's spike
high to $1.3008. Earlier resistance from $1.2975-$1.2985 now the bar to fresh
upside interest. Support now comes initially from $1.2895, this the protection
to a deeper $1.2859 pullback. Have to stay above here or overall bias will
return to the downside and back on $1.2818-$1.2804.
GOLD TECHS: Recovery Fails To Deal With $1308.9-$1309.3 Resistance 
*RES 4: $1332.8 Apr 13 low, Apr 24 high
*RES 3: $1326.0 May 11 high
*RES 2: $1314.9 May 15 high
*RES 1: $1307.9 May 25 high
*PRICE: $1294.9 @0938GMT
*SUP 1: $1287.8 May 23 low
*SUP 2: $1282.2 May 21 low
*SUP 3: $1267.2 76.4% Fibo of $1236.6-$1366.2
*SUP 4: $1266.3 1.618 swing of $1282.2-$1307.9
*COMMENTARY* Lost support from the key $1286.6-$1286.1 area last month which
raised some concerns. This the rising support line at the time, from the
December 2016 lows and the 61.8% Fibo retrace level of this year's
$1236.6-$1366.2 rise. If this can be sustained, then there is not much to stop
an eventual $1267.2 fall. In the meantime, unable to maintain a break through
the 9 week falling resistance line, so eyes back on $1287.8-$1282.2 support.
--MNI London Bureau;tel: +44 207-862-7495; email: les.castell@marketnews.com
[TOPICS: MTABLE]
To read the full story

    Why Subscribe to
    
MNI
MNI is the leading provider
 of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

    

});

window.REBELMOUSE_TASKS_QUEUE.push(function(){

    
        window.dataLayer.push({
    'event' : 'logedout',
    'loggedOut' : 'loggedOut'
  });
    

});

window.REBELMOUSE_TASKS_QUEUE.push(function(){

    
        (function appendPosts () {  
    var policyPosts = document.getElementsByClassName('policy-posts-wrapper')[0];
    var policyPostsMenu = document.querySelector('.policy-posts-span');
    policyPostsMenu.append(policyPosts);
    policyPosts.style.display = "block";

    var dataPosts = document.getElementsByClassName('data-posts-wrapper')[0];
    var dataPostsMenu = document.querySelector('.data-posts-span');
    dataPostsMenu.append(dataPosts);
    dataPosts.style.display = "block";
})();
    

});

window.REBELMOUSE_TASKS_QUEUE.push(function(){

    
        document.querySelectorAll(".my-mni").forEach(function(item){
  item.href="/core/users/email_login/";
  item.innerHTML="Log In";
})
    

});

window.REBELMOUSE_TASKS_QUEUE.push(function(){

    
        document.querySelectorAll("img").forEach(function (img) {
    img.addEventListener("contextmenu", function (e) {
      return false;
    });
  });
  document
    .querySelector(".site-logo img")
    .addEventListener("contextmenu", function (e) {
      return true;
    });
    

});

window.REBELMOUSE_TASKS_QUEUE.push(function(){

    
        document.querySelector('.signup-form').addEventListener('submit', () => {
  window.dataLayer = window.dataLayer || [];
  dataLayer.push({
    'event' : 'submission_click',
    'event_category': "Sign Up Button Clicks",
     'event_label': "Posts" 
  });  
  
})
    

});

window.REBELMOUSE_TASKS_QUEUE.push(function(){

    
        REBELMOUSE_STDLIB.createElementChangeListener(".areas-of-interests__options .signin-module", function (item) {
  item.addEventListener("click", function () {
    if(item.querySelector("input").checked){
      item.classList.add("selected");
      // item.querySelector("input").checked=false;
    }
    else {
      item.classList.remove("selected");
      // item.querySelector("input").checked=true;
    }
  })
})

function initializeTooltip(){
  document.addEventListener("mouseover", function (e) {
    if (e.target.matches(".authentication--field-fi_market > i")) {
      document
        .querySelector(".subscription-form-tooltip.fi-market")
        .classList.remove("hide");
    }
    if (e.target.matches(".authentication--field-fx_market > i")) {
      document
        .querySelector(".subscription-form-tooltip.fx-market")
        .classList.remove("hide");
    }
    if (e.target.matches(".authentication--field-data > i")) {
      document
        .querySelector(".subscription-form-tooltip.data")
        .classList.remove("hide");
    }
    if (e.target.matches(".authentication--field-mni_research > i")) {
      document
        .querySelector(".subscription-form-tooltip.mni_research")
        .classList.remove("hide");
    }
    if (e.target.matches(".authentication--field-policy > i")) {
      document
        .querySelector(".subscription-form-tooltip.policy")
        .classList.remove("hide");
    }
    if (e.target.matches(".authentication--field-EM_market > i")) {
      document
        .querySelector(".subscription-form-tooltip.EM_market")
        .classList.remove("hide");
    }
    if (e.target.matches(".authentication--field-calendar > i")) {
      document
        .querySelector(".subscription-form-tooltip.calendar")
        .classList.remove("hide");
    }
    if (e.target.matches(".authentication--field-commodities > i")) {
      document
        .querySelector(".subscription-form-tooltip.commodities")
        .classList.remove("hide");
    }
  });

  document
    .querySelectorAll(".areas-of-interests__options i")
    .forEach(function(btn){
    btn.addEventListener("mouseleave", function (e) {
      let tooltips = document.querySelectorAll(".subscription-form-tooltip");
      tooltips.forEach(function(tooltip){
        tooltip.classList.add("hide");
      });
    });
  });
}

function createTooltip(item) {
  const tooltip = document.createElement('i');
  tooltip.classList.add('tooltip');
  item.appendChild(tooltip);
}

REBELMOUSE_STDLIB.createElementChangeListener(".areas-of-interests__options .authentication--label", function(item){
  createTooltip(item);
  if(document.querySelectorAll(".areas-of-interests__options .authentication--label").length >=7 ){
    initializeTooltip();
  } 
})

REBELMOUSE_STDLIB.createElementChangeListener('.signup-form.authentication--form',function(item){
  item.onsubmit=function(e){
    ga('b.send', 'event', {eventCategory: 'Signup', eventAction: 'CompletedForm', eventLabel:'pageTitle', eventValue:15});
    window.dataLayer = window.dataLayer || [];
    dataLayer.push({
      'event' : 'signup_click',
      'event_category': "Signup",
      'event_action': 'CompletedForm',
       'event_label': 'pageTitle',
      'event_value': 15
    });  
  }
})
    

});

window.REBELMOUSE_TASKS_QUEUE.push(function(){

    
        
  let posts = document.querySelectorAll(".all-content-wrapper .widget:not(.stream-story-processed)");
  window.check_story_posts(posts, "streamOfPosts");
    

});

window.REBELMOUSE_LOW_TASKS_QUEUE.push(function(){

    
        /*
const sidebar = document.querySelector('.left-sidebar-container');
const stickyContent = document.querySelector('.sticky-content');
const siteContent = document.querySelector('.all-posts-stream');
if (sidebar && stickyContent && siteContent) {
  if (siteContent.clientHeight > sidebar.clientHeight) {
    console.log('grater -> ', siteContent.clientHeight + ' > ' + sidebar.clientHeight);
    stickyContent.style.height = (siteContent.clientHeight - sidebar.clientHeight) + 'px';
  }
}
*/
    

});