 Hello and welcome to the chart of the week video with me at David Madden today's date is Thursday the 6th of December 2018 and the time has just gone 1125 gnt and this week's chart of the week is the hang saying as you call it on our platform the Hong Kong 50 We'll first off look at the weekly chart. I think give you a big picture of what's been going on with the market 2018 as you can see here over throughout 2018 it's been a fairly obvious trend to the downside and The downward move became particularly apparent and aggressive We're about May June onwards. So it's been a classic example of a downward trend lower lows and lower highs But the main reason I wanted to look at this chart on a weekly basis was because one of two that the two discuss Start off by discussing this can this can here. This is the weekly candle for this particular week And today is Thursday So the candle hasn't actually fully formed yet because we obviously are Friday to go But already it's shaping up to it in the in the in the shape of a bearish engulfing Notice how this candle have this red candle here is Appeared to be in golf that the preceding candle and a bearish engulfing would it should be the case It could be a sign that we are looking to move lower on the hang saying So I'll now take a look at it on a daily chart So you can get to see We can we can see how the markets progress over the last hour months Like I said, it's been a fairly obvious example of a downward trend From about late May early June onwards a classic example of lower lows and lower highs granted From late from late October onwards. We have seen a market of it a bit of a bounce back If you draw a line between the lows of October November and December we get this trend line here Now granted we are just pretty much trading on the trend line at the moment But given that global equity Sentiment has completely soured. I am over it overnight I Gave that at that the wider downward trend has been in place We could see further pressure being applied to this and should be break below this trend line here Which comes to play in around 26,000 we could be looking heading back down towards 25,000 here Or if you go below that we could be looking heading out towards the October lows and then below that we could be looking at it back down towards 24,334 a level should be a hit it a level That was last seen in in April of 2017 If you do manage to hold above this trend line here, and if global equity sentiment actually Turns around and markets do start to push higher. We could be looking at retesting the recent highs In early December which came into play just north of 27,300 and if you go beyond that the next big area to keep an eye for will be the late September high visit region here Which comes to play just north of 28,000 20,030 and if we take on that high That could be a sign that they added the downward trend that's been in place for months is coming to an end And if you go beyond that it's a September high We could be looking at targeting the October at the August high which comes to play 25,500 and 83 now if you are going to be trading behind saying please keep an eye on US-Chinese relations global equity markets Took a turn took a major turn lower last night after it was announced That the CFO of Huawei Chinese company was arrested in Canada on Saturday now the rest of places on Saturday, but it was announced late last night GMT time this in a major shockwave throughout global equity markets and the impression is that this announcement of the arrest is Potentially going to undo the good work that was achieved between the US and China at the G20 Summer at the weekend just gone now the rest was made on Saturday So you could argue that you'd imagine both parties were aware of this arrest before the even though trade talks were continuing and as you saw trade talks actually managed to actually Have a cease to see some signs of improvement. So You could argue that it should already both parties should already have been aware of this But for the time being traders and investors are looking at this and saying that it's as a potential to derail US-Chinese trade trade trading relations It's also worth pointing out tomorrow. It's non-farm non-farm payrolls It often adds a lot of volatility to financial markets. And in fact, I'm actually hosting a webinar Covering the non-farm payrolls live tomorrow if you go to our website see if some markets calm and under the learn section And that you'll see under webinars and events you can see here You can sign up for free for the but the non-farm payrolls live coverage tomorrow coverage starts from what? 1315 PGMT Quarter past 1 p.m. London time live coverage of the payrolls Finally, if you've any reviews you'd like to make on this any any comments or to make on this video Please feel free to leave review on good reviews, and that's all for me this week. Thank you very much