Daryl Guppy is an independent technical analyst who appears frequently on CNBC Asia. He runs training, analysis and resource workshops for retail and professional financial market traders involved in stocks, CFDs, warrants, derivatives, futures and commodities in China, Malaysia, Singapore and Australia. He has his own trading company, guppytraders.com.
The Shanghai Composite Index shows no distinct bias upwards or downwards so traders and investors can expect of prolonged period of sideways movements with short term trading opportunities.
The Nasdaq has been the leading indicator of the U.S. equity markets since March 2009, when the economy began its recovery. The Nasdaq leads and the Dow follows. So it may be worth checking the Nasdaq chart for clues on where the Dow may be headed.
The changes in the trend of the U.S. dollar are helping to push commodity prices higher. The impact of this is also seen on the NYMEX oil chart, where prices have broken significantly above the historical resistance of $88 in recent weeks. Tensions in the Korean peninula are expected to add to the upward momentum.
Hong Kong remains the primary entre-port into China and north Asia investments. And for this reason, its market quickly feels the effect of decisions made in Beijing, and the tensions in North Korea.
The prices of the U.S. dollar and gold typically move in opposite directions: when it's time to buy gold, it's probably time to sell the dollar. But recent analysis of their prices show this typical pattern weakening, says Daryl Guppy of Guppytraders.com.
The artillery attack by North Korea on its southern neighbor sent Seoul markets tumbling, although the losses were not as severe as many has feared. And despite the political jitter, the charts show further upside in South Korean markets.
The recent pullback towards 1.10 suggests that bearish pressure is building on the euro-dollar.
The yellow metal's dramatic fall from $1,340 to below $1,260 is a break-and-enter theft on a grand scale.
The outlook for oil prices remains bullish, both on the chart and in the economy.
More people are dabbling in technical analysis without really understanding what is involved.
Daryl Guppy is an independent technical analyst who appears frequently on CNBC Asia.