Daily Market Outlook, December 5, 2022

Daily Market Outlook, December 5, 2022 Hang Seng & The Chinese Yuan Buoyant On Covid Restrictions EasingFurther indications of curbing of Covid restriction policies in China supported Asian equity markets overnight, with the Hang Seng surging 9%, the Chinese Yuan was also a stand-out performer pressuring the Dollar to print two-and-a-half-month highs. CFTC data continues to suggest a lightening of positioning in the dollar as the Euro and Sterling remain preferred by investors for now. For the week ahead markets will continue to eye the China headlines for further signs of an easing in restrictions, on the data front we have a relatively quiet slate, highlights include US ISM services and European retail sales released today, central bank meetings for Canada and Australia, with both monetary policymakers set to raise rates again, for the remainder of the week markets will eye US producer price inflation data released Friday, ahead of next week's all-important CPI release. FOMC policymakers will monitor this data for further indication of moderation in goods and services inflation. US GDP data is expected to remain positive in Q4 and today's ISM release should confirm that view, other US data on tap this week includes the trade balance and Fridays University consumer sentiment. In the Eurozone Q3 GDP, out Wednesday is expected to come in at 0.2% quarter over quarter, retail sales and German factory orders are expected to remain impacted by energy prices in the region. In the UK focus will be on survey data with today's services PMI is expected to confirm the 'flash' estimate with a second consecutive month of contraction. The BRC will release its 'unofficial' figures for November, which will give the first signs of consumer appetite as we head into the festive shopping period.Overnight HeadlinesChinese Cities Ease Curbs But Full Zero-Covid Exit Seen Some Way OffChina’s Services Sector Contracts At Fastest Pace Since MayChina Steps On Washington’s Toes As Xi Heads To Saudi ArabiaChina PBoC To Reduce OMOs To Avoid Liquidity Excess - Sec. JournalPentagon Warns China On Asia-Pacific: US Will Keep War-Fighting EdgeJapan's Service-Sector Activity Growth Hits 3-Month Low -PMIGerman, French Central Bankers Say Inflation Will Return To GoalUK Faces Recession and Lost Decade Without Growth Plan, CBI SaysBoE's Dhingra: UK Rates Should Peak Below 4.5% To Avoid Deep RecessionOffshore Yuan Rises Past 7-Per-Dollar On China Reopening ShiftBankman-Fried Says He Will Testify Before U.S. House CommitteeGlobal Debt Extends Best Run Since Pre-Covid On China, Fed BetsOil Rises As China Loosens Curbs And OPEC+ Keeps Output SteadyRussia Mulls Banning Oil Supplies Subject To Western Price CapChina Stocks Gain As Easing Of Covid Curbs Buoys MarketsBargains Begin Luring Big Banks Back To China Bets For 2023Credit Suisse’s Investment Bank Spin-Out Attracts Saudi Crown PrinceTechnical & Trade ViewsSP500 Bias: Bullish Above Bearish Below 4000TechnicalsPrimary support is 4000Primary upside objective is 4120Next pattern confirmation, acceptance above 4100Failure below 3975 opens a test of 393020 Day VWAP bullish, 5 Day VWAP bullishEURUSD Bias: Bullish Above Bearish below 1.04TechnicalsPrimary support is 1.05Primary upside objective is 1.0620Next pattern confirmation, acceptance above 1.0550Failure below 1.04 opens a test of 1.035020 Day VWAP bullish, 5 Day VWAP bullishToday’s New York Cut Option Expiries: 1.0300 (560M), 1.0445-50 (1.02BN), 1.0500 (728M), 1.0570-75 (1.04BN)GBPUSD Bias: Bullish Above Bearish below 1.21TechnicalsPrimary support is 1.21Primary upside objective 1.24Next pattern confirmation, acceptance above 1.2250Failure below 1.20 opens a test of 1.193020 Day VWAP bullish, 5 Day VWAP bullishToday’s New York Cut Option Expiries: 1.2300 (253M)EUR/GBP: 0.8500 (1.7BN)USDJPY Bias: Bullish above Bearish Below 136TechnicalsPrimary resistance is 136Primary downside objective is 132Next pattern confirmation, acceptance below 133.50Acceptance above 136.10 opens a test of 137.5020 Day VWAP bearish, 5 Day VWAP bearishToday's New York Cut Option Expiries: 134.00 (980M), 135.45 (362M), 136.00 (291M)AUDUSD Bias: Bullish Above Bearish below .6700TechnicalsPrimary support is .6700Primary upside objective is .6900Next pattern confirmation, acceptance above .6800Failure below .6700 opens a test of .660020 Day VWAP bullish, 5 Day VWAP bullishToday’s New York Cut Option Expiries: N/ABTCUSD Bias: Intraday Bullish Above Bearish below 16500TechnicalsIntraday 16500 is primary supportPrimary upside objective is 18000Next pattern confirmation, acceptance below 17200Failure 16400 opens a test of 1600020 Day VWAP bearish, 5 Day VWAP bullish

from Tickmill Expert Blog - Forex Traders Blog https://www.tickmill.com/blog/daily-market-outlook-december-5-2022"
via IFTTT