Here are the most recent market charts and analysis for today. Check them out!
The pair is seen to retest the resistance line after being whipsawed in its second attempt to break the line. Institutional investors are slowly pouring their capital to Australia as the deadline for the ratification of the CPTPP (Comprehensive and Progressive Trans-Pacific Partnership), which will be led by Australia and Japan, is about to end on December 30, 2018. Australia is also a member of the Five Eyes Intelligence Alliance, which counter China’s growing security threat. Together with Japan, they will we be the safe haven as the US and China is expected to continue their trade war on March 1, 2019 or earlier after the arrest of Huawei’s CFO, daughter and heirrss of Huawei.. While the EU was struggling to contain the rising nationalism within its members.
The pair is expected to continue its rally. UK Prime Minister Theresa May was struggling to pass the deal she negotiated with the European Union to the UK Parliament, as the MP’s (Members of the Parliament) were concerned that the deal was not what they voted for. Under the deal, the United Kingdom will remain in the Single Currency Market and Customs Union, which the Northern Ireland’s DUP, Labour Party, and Scottish Government said, will prevent the UK from having the sovereignty and freedom to make relations with other countries outside the bloc, or as other’s dubbed it “Norway Style Brexit” or “Brexit by name” only.
The pair entered the “Death Cross” and was expected to further go lower in the following days. As the biggest economies were engaged in geopolitical and economic issues, like U.S. and China’s trade war; U.S., E.U., Russia, and Iran in Nuclear weapons; U.S., Saudi Arabia, Iran, Russia, and E.U. with fossil fuels and liquefied natural gas; Investors were looking for an alternative market that will be a safe haven during global crisis. The answer to these is the ASEAN (Association of South East Asian Nation), which comprised 1/3 of the global trade. It is also home to Emerging Economies that will be vital in the future for the new global order of dominance. Inside the ASEAN was the CPTPP (Comprehensive and Progressive Trans-Pacific Partnership), with Australia and Japan’s leadership, with the inclusion of Canada, Mexico, and Chile.
The pair is expected to reverse after it touched EMA 50. The European Union and Japan ratified their free trade agreement as the counties are expected to be the next subject of Trump’s tariff on auto manufacturing industry. Japan was also able to leverage itself in making trading relation with China, and together with Australia will lead the ratification of CPTPP (Comprehensive and Progressive Tran-Pacific Partnership). However, the European Union was distracted with internal and external conflicts. It was facing the resignation of Angela Merkel as German Chancellor on March 29, 2019, European Union’s de facto leader Emmanuel Macron with the “Yellow-Vest” protest in France, Brexit, rising Nationalism, CEE’s (Central and Eastern Europe) pivot to China, US withdrawal from INF (Intermediate-Range Nuclear Forces) Treaty and Iran Nuclear Deal, and solwing influence in Asia.