NYLON HANDOVER: Portuguese bank triggers flight to safety

Equities resumed their downwards path and investors took their usual flight to safety following Portuguese bank, as Banco Esparto Santo, (Portugal’s largest bank) had their shares suspended form trading. Europe was the worst hit seeing FTSE is at 10-week lows; CAC40 closed at 19 week lows; DAX closed at 8-week lows

BoE kept rates on hold at 0.5% and UK Trade Balance fell short of expectations and at a 4-month low following higher aircraft imports; Cable saw increased volatility but remained directionless, holding near the multi-year highs.

Canadian Housing Price Index fell short of expectations, but grew at 0.1%, below 0.3% forecast. USDCAD closed flat for the day but we suspect continues to form a basing pattern

US unemployment claims fell to 304k, down from 315k last week and below expectations. This is the lowest since May.

FOREX:

DXY Bullish piercing line but remains below Monthly pivot; Bias it neutral for the day

AUDUSD Long Legged Doji which is also an outside day; Intraday bias is bearish below 94c

EURUSD Dark Cloud Cover but remains between key levels of 1.358 and 1.365; Bias remains neutral

GBPUSD Bearish Hanging Man Reversal but within sideways correction; Intraday remains neutral

USDCAD Trading within suspected basing pattern and midway with sideways correction; Bias remains neutral

USDCHF Intraday bullish bias above 0.892

USDJPY Intraday bias is bearish below 101.250; Otherwise neutral

NZDUSD Rikshaw Man Doji warns of sideways trading or retracement from the highs; Bearish below 0.879 support towards lower channel

COMMODITIES:

GOLD finally saw a push higher to suggest a bullish continuation pattern has been confirmed; $1433 target achieved - above $1330.70 targets $1355

WTI Bullish piercing line holds above $101.60 support to warn of near-term strength

BRENT WTI tests and respect $107.70 support and closed with a bullish piercing pattern to suggest near-term strength