 Hi, good morning and welcome to today's products and focus and what we have today's reports coming out of China that they're looking to cut steel production which could have an impact of 400,000 jobs and the Chinese marketplace and Continued rumors as well that it's not just steel But also the coal industry we're looking to set similar caps in order to protect the industry So massive oversupply the trend support prices 400,000 job layoffs doesn't just impact those steel workers But all the surrounding infrastructure around that including a lot of finance and banking workers We help to finance those projects and obviously deal with the investments and Finance of all those particular workers and if you follow that through with cuts and coal production Where does it end next so China began to play a little bit of a hardball in order to try and protect some of those industries Stop oversupply and to support some of those prices as well now. There's also continued news This week talking about the crude oil price Which you will come to when we have a look at things from a technical perspective crude oil slump 5% Overnight and it's continued to drop a little bit more this morning So it seems to be last week's rallies a little bit short-lived now the aggressive move We saw on crude oil last night hasn't completely translated into the equity markets. Don't don't get me wrong Those markets are down. They're just not down as much as what they were yesterday So out last week So there's still a little bit of extra room for for maneuver right there just now I'll be interesting to see if we're things pan out and from a technical perspective when we look at the Markets about where we are from those major support levels We are breaking below some support at the moment, but we're quite far away from last week's session though So we still have a little bit of extra room, but certainly the Chinese stock market will be playing We'll be having its toll down six percent By the end of its close there today and obviously these news items that are coming out locally from China They'll eventually felt it through to Bloomberg and Reuters as well as a cause for concern in that region Many people thinking about a hard landing in China and the fact is that the Western Economies don't really have a lot of gas left in the tank to really do a lot of supportive measures. So China really could do with sorting itself out the local Officials there need to stop flip-flopping on on decisions once they make it once they kind of go a certain direction They really need to stay the course because that's causing a lot of a lot of concern by investors Apparently over one trillion US dollars in capital outflow has left China in the last couple of weeks and months That gives you an idea that people are just really looking elsewhere for their gains and that is pulling a lot of money out of China Which will just be exacerbating the situation. So without further ado guys Let's go ahead and have a look at the markets from a technical perspective starting off with the US 30 as ever So looking at this just now you can see that we are trading below potential support at 15,904 69% of CMT markets clients are currently short next potential support 15,315 the other technicals are reversing as that negativity seeps in then having a look at the UK 100 Can a negative move yesterday another negative move this morning? We're already trading towards the bottom end of that range 73% of CMT markets clients are currently long with 57 69 being the potential support then 5600 as you can see we are a good bit away from the from the lows that we hit there last week But this isn't very good from a technical perspective when we are already at the bottom end of the range Looking at Japan 225 again to negative candles 16,440 we did have a strong rejection of a move below 16,000 and Decision by CMT clients 53% of clients are currently short the other technicals are relatively neutral jumping on to dollar yen quite traditionally that safe haven asset 54% of CMT markets clients are currently long People are maybe buying gold at the moment because they're not quite sure about the dollar because of Wednesday's FOMC We are we have bounced off the session lows. So that's kind of interesting actually The other technicals are relatively neutral with 116 spot 80 being the next potential support moving on to West Texas crude You can see that 5% move not quite a bearish and golfing pattern more like dark cloud cover We follow through another slight negative move this morning 2673 is the next potential support We're training below both moving averages other technicals are relatively neutral slow stochastic Just not quite breaking through that 20% level and this is very telling CMT clients 51% long It's almost 5050. You don't know what to do next moving on to gold We've got a technical a potential technical breakout of the tip of this candle right here We're training below one and we're straining above 1115 69% of CMT markets clients are short which is quite interesting if this is going to be a safe haven move higher but of course if the FOMC comes out with the Relatively dovish statement that could be kind of interesting for gold as well if the dollar doesn't get that interest rate Talk ongoing again. It did seem to think they're going to get for interest rate at hikes in 2016 That would be a bit of a tall order right now to be completely honest But that's where we currently are for gold moving on to Euro dollar The euro looking relatively well supported the euro still showing a lot of strength considering Mario Draghi said There's almost no limit to what the ECB would do to support the euro's on economy And that's because traders just don't believe that he is going to embark on QE as of yet Just talk no action and traders aren't stupid in that in that regard for as long as you see your dollar It's staying above one spot zero eight It's adding fuel to the fact that traders just don't believe that drag is gonna do anything if we say move below One spot zero eight targeting one spot zero six that will add a little bit more weight to that 83% of CMT markets clients currently short anticipating that move to the downside Then looking at GPUSD 87% of CMT markets clients are currently short We've had a rejection of the lows here a rejection of the highs here And we're also laying around one spot 42 with we're actually just slightly below that level at the time of recording So certainly when you look at the trend the trend is not so great But one spot 42 is a very important level for a GPUSD. So remember Wednesday brings the FOMC 7 p.m. UK time You got the Bank of Japan has as has its meetings towards the end of the week If that if I just go to market pulse and have a look at my market calendar for a second. We have CCI today Tomorrow we've got house prices in the UK Petroleum data from the US and FOMC as we discussed Thursday brings UK GDP German CPI durable goods in the US and employment claims and then Friday You've got CPI from the Eurozone GDP for the US and finishing things up with the University of Michigan Cinnamon index. Well, that gives you a bit of an idea of what to expect guys Very good luck with your trading and join me again tomorrow to find out what happened next. Thank you very much and goodbye