The EURCHF is not only a play on risk-on/off. It is also a way some under-the-radar intervention by Asia CB.
So worth watching.
If this is an H&S, we are probably just getting started.
I have used a conservative approach to mapping out extension target
HSI Tech reversal
$BABA showed weakness last week and again led to the complex reversal.
It seems the counter-trend rally may have come to an end.
$HSI also has a smaller degree Island Reversal as well. It should lead to some volatility here on.
Big rally, BUT
Potentially a Spinning Top/ Shooting star Still inside Senkou Span a & B
So it looks corrective for the time being on the abck of $ bond coupon payment headline But the filing with exchange is they are still within th egrace period and it is ongoing.
Evergrande Bonds rallied but still trading at 16 on the benchmark 2025 bond.
Breaking? a descending wedge. Given we have a weekly close, this would be important. Unless we see any retest, the European rates need a big catch-up. Risk assets have enjoyed years of negative yields. It may be time to change the easy money
Cotton Futures open in China limit up after holidays. PTA (Purified Terephthalic Acid ) futures still in corrective phase and one to watch as Cotton replacement may kick in.
PTA may lag but should mean revert
The Korean long end broke the downtrend since 2001. Rising inflationary pressure and inflation outlook are forcing long-end liquidation that seems just getting started. a 50% retracement to 3.65% is what seems achievable and put pressure on the rest of the Asia Bond markets
Softbank Group, given the most significant player in Asia PE / Fintech and leverage it does take a Macro implication.
Upside capped by Pitchfork.
Testing multi-year support
A possible H&S pattern.