Tools for Traders Top Movers | Heat Map | Pivot Point | Pivot Meters | Action Bias | Volatility Charts Action Insight Mid-Day Report: Dollar Supported by Wage Growth Despite NFP Miss, No Drama from China's Brief Press Briefing Reactions in the financial markets to the escalation in US-China trade tensions remain rather mild. Nikkei closed down just -0.36% today. European indices are in red at the time of writing. But DAX is down -0.5%, CAC down -0.3% and FTSE is nearly flat. US futures point to triple digit loss in DOW at open but it's already they've already recovered much from early day selloff. The press briefing of Chinese Ministry of Commerce is highly anticipated but it's briefer than a usual briefing. Nothing special is revealed there except the pledge to retaliate. It certainly lack the intensity of the Wednesday one. After all, as we mentioned before, US will have to go through the process of public input till May 22 before finalizing that Section 301 tariff on USD 50b in Chinese imports. There is no implementation date for the this set of tariffs yet. And there is no list of products for the USD 100b of products yet. Even so, it's just Trump's proposal right now. There's still a rather long way to go before US and China hit fire. Action Insight | Market Overview | Central Bank Views | China Watch | Special Topics | Oil N' Gold | Live Comments Technical Outlook USD/CAD Mid-Day Outlook Daily Pivots: (S1) 1.2728; (P) 1.2767; (R1) 1.2790; More.... USD/CAD's decline continues today and hit as low as 1.2734 so far. Intraday bias remains on the downside. As noted before, near term trend should have reversed with head and shoulder top pattern (ls: 1.3000; h: 1.3124; rs: 1.2942). Decline from 1.3124 should target 61.8% retracement of 1.2246 to 1.3124 at 1.2581 next. Also, noted that current development suggest rejection by 1.3065 fibonacci level. And deeper decline could be seen back to 1.2246 and below eventually. On the upside, above 1.2805 minor resistance will turn bias neutral first. But break of 1.2942 is needed to confirm completion of the decline. Otherwise, outlook will stay cautiously bearish in case of recovery. Suggested Readings Weak Jobs Growth Barely Shakes USD Canadian Jobs Boost CAD, NFP Miss Hurts Dollar Uncertainty Goes Up as Trump Chooses Escalation Over Negotiation Forex Analysis: Gold And USDJPY Markets Slip As Trump Proposes New Tariffs Markets Shrug Off Latest Trade Tensions As Dollar Holds Firm At 5-Week High EURGBP Struggles For Upside Momentum, Looks Bearish Below Cloud Economic Data
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