Asian markets ended mixed as investors looking for direction in equities after the recent rally from March lows. Weak economic data from around the globe shows that the damage in the economy is severe due to the coronavirus crisis. IMF in the spring report forecasts that Asia’s economic growth in 2020 likely to halt for 1st time in 60 years, while it expects to return to 7.6% growth in 2021.
Nikkei 225 finished 1.33% lower at 19290. The Singapore Straits Times is 0.90% higher at 2629. The Shanghai Composite is 0.31% higher at 2819, while the Hang Seng Index is 0.19% lower at 24,100.
Download our Q2 Market Global Market Outlook
ASX 200 Pullback From Monthly Highs
ASX 200 continues lower for the second day as Australia’s index correction from monthly highs gains momentum. The better than expected unemployment numbers failed to impress investors. Australia’s Unemployment Rate came in at 5.2% below the expectations of 5.5% in March, while the Participation Rate registered at 66% topping the expectations of 65.9%. On other economic data, the Consumer Inflation Expectations rose to 4.6% in April from the previous 4%.
On the technical side, first support for ASX 200 stands at 5,345 the daily low. If the selling pressure persists, the next level to watch is at 5,202 the low from April 9. Next support will be met at 5,124 the low from April 8 trading session.
On the other hand, immediate resistance stands at 5,466 the daily top. More offers would emerge at 5,535 the high from yesterday’s trading session. The high from March 12 at 5,718 is the next resistance zone.
Don’t miss a beat! Follow us on Telegram and Twitter.
More content
- Download our latest quarterly market outlook for our longer-term trade ideas.
- Follow Nikolas on Twitter.
- Do you enjoy reading our updates? Become a member today and access all restricted content. It is free to join.