 Hi, good morning and welcome to these products and focus and as ever China very much back in focus With those stock markets back on the slide following yesterday's short-lived rally across the global equity markets Everything has absolutely getting smashed this morning and most global equities are down crude oil is down And FX markets you see a lot of flows into the Japanese yen as I said haven people buying a little bit of gold as well And all know people kind of scratching their heads as to what's going to happen next What number of traders are asking are we in a bear market right now? Well officially? It's only the Japanese market that is officially in a full blown bear market It's down 21% from their August highs most other stock markets are actually not as bad as you think You'd have the US 30. I think it's done about 13% from his recent high And the UK market is actually the one to keep an eye on it's done about 18% from its From its highs as well. So it's very close to entering bear market territory In which case you see a large number of headlines mentioning that and the press obviously the UK market had particularly hard because of our big And put into commodities oil mining everything else as well But on all it's not been a great start to 2016 So where do we kind of go from here? Well the US the data and the growth isn't that bad the eurozone It's okay. We're not really kind of going completely backwards, but the growth is definitely slowing China still has gas in the tank in regards to they they have their interest rates slightly higher as we discussed there before They can do a lot more with you on it's the emerging market economies that are probably going to get squeezed that little bit harder But there is a lot of negativity in the market and everybody's looking at the oil price So at the time of recording this video crude oil was maybe weren't about and West Texas crude I should say about $27.60 and that's pretty much a very close major Support level again 12 year lows blah blah blah The question is where we're going to go from here if it breaks below $27 There's obviously every opportunity it could go down to 20 I think that's where the next potential support level is now It's not going to go down there directly But that is what a number of analysts and commentators are kind of singling out as a major psychological level Normally when people put their finger on a specific target price one way or another it maybe ends up getting there So you want to be very very careful if you're trading crude. It's gonna be incredibly volatile I wouldn't be surprised to see it's up 5% one day down 5% the next Wild swings is a real tough one to trade most people are kind of just using it as a barometer as to world growth Projections, you know of crudes getting absolutely smashed means that just means the growth projections are that little bit lower So that's just something to think about And we're gonna look at a lot of the equities in regards to a technical perspective You'll see from the major potential support resistance levels are and we'll have a look at that West Texas crude and more detail when we get to So without any further due let's have a look at it from a technical perspective This is the US 30 70% of seems to marks clients are currently short They must be kind of happy this morning because we are almost at the bottom end of the range the US 30 is down 1.7% or Almost 280 points the lower term potential support is at 15 3 1 5 Looking at the UK 100 as I mentioned, this is a little bit ugly What I mentioned is down 18% that's from this April high down to here We are just at the cusp of breaking through a potential support level 86% of seem to marks clients are long They're not gonna be feeling that much love this morning as this candle is pretty negative Yes, this candle wasn't great either even though we did finish in positive territory It was far off the highs from a technical perspective RSI still shows his room for further Moves lower the slow stochastic is over sold As you can see we have broken that 57 56 right now if I stick this on to weekly chart Let's get a bit of a flavor for the next levels of support could be to need to get my drawing tool out right now Right, okay 5600 is the next potential support level that you might look at and that's a fair bit away from where we are Just now I just had to see how that pans out Japan is looking very ugly this morning This is down almost 4% technical break out through 16,440 where's this next off the next potential support is really far away Okay, we need to see how this finishes by the end of the clothes. So it's breaking out right now It's not an official breakout until it closes below that Potential support is massively oversold already 56% of seem to marks clients are currently short The thing is everybody's buying the Japanese yen as as a hedge against uncertainty It's a safe haven of choice and that's that's helping to double whammy for Japan You've got China. You've got the stock sell-off as more than double whammy is a triple whammy really And you've also got people buying up the yen is that safe? So let's have a look at dollar yen And as you can see from the long-legged candles here that each time it tries to break down lower people keep buying it again But we'll see we'll see how that pans out later on today 116 is the next potential support 52% of seems to marks clients are currently long showing the indecision And it does look to be that 116 spot 80 as a significant level. So do keep an eye on that So where's Texas crew? We've been talking a lot. It's currently at 27 70 The long-term potential support is at 26 73 okay, so let's have a look at this from I think we have to go into a monthly perspective Before we can really see how this pans out, right? This is where we are how oh wow right, so you could be looking at this level here and Arguably be looking at this. So let's let's keep these levels on here and then jump back onto my daily chart for a second Okay, so there is multiple levels of support on the way down. So you're looking at 26 73 25 2350 and then after that things get particularly ugly. Okay Psychological level of 20 of $20 we've got loads of support before we get anywhere near that $20 and crew would have to really get a Lot of pain to get down there 72% of seems to markets clients are currently long cruders down 2.3% at the time of recording So then going on to to gold gold's getting a decent jump 54% of seems to market clients are long a gold's up 7 bucks this morning you can see by these long-legged candles here You're struggling to break higher for some time $1,100 as an ex-potential resistance bullish crossover on the moving averages the other technicals are relatively neutral I'm not that excited by gold Let's all look at your dollar Bounce back up up maybe a technical breakout of this potential descending triangle formation The euro is a safe haven at the moment 80% of seems to markets clients currently short They're anticipating further losses because they're hoping that the dollar is going to rally We're not really getting that right now But if we do break higher you could be looking at the tip of this candle right here So around about above 1,000 one spot 10 we're a little bit below that right now Other technicals relative neutral showing room from maneuver and if you finish up with GBP USD It's looking really horrible right now. So it's The sterling is not getting a lot of love Bank of England's governor Kearney came out basically saying that the UK interest rates are going to be data-dependent Ruin between the lines of his statement The UK is not going to be raising rates in 2016 unless we get some unbelievable turnaround in the macro data events Which is fair enough if the economy is not strong enough then that's okay But we've got no gas in the tank if we really need to have stimulus if the rates are so low Really horrible looking candle yesterday. We're in the wrong side of one spot 42 30 this would be the first time in 30 years apparently reading Michael Houston's analysis one of our Analysts here and seems to be in London He said that cable is not closed below one spot 40 and change for Quite some time three decades. So that would certainly be quite significant one The lowest points that the cables being versus the US dollar for a long time So going to the holiday in America is it's going to be very expensive for everybody right now one spot 40 is really cheap That you really just go back to here and we go on to and we have to go into monthly chart to maybe see this Actually, no, I'm completely wrong. It's not had a it's not had a close One spot 35 10 was the worst that we've had so it must be for the last Eight years since it's closed below that so Let's see that pans out That is that is quite a savage looking at chart We're a little bit away from there right now looking at from a monthly perspective We are a lot we are a good bit away from there just now But one spot 35 10 would be the next potential support level and that would be really ugly Well, let's have a look to finish up on the market calendar And today we do have consumer price index and we've got housing starts in the US And then tomorrow unemployment and the petroleum data and then on Friday You've got some Japanese data the PMI for Germany and existing home sales again for the US to round things up Well guys, that's it for me. Very good luck with your trading and join me again tomorrow to find out what happened next Thank you very much and goodbye