AUSSIE 3-YEAR TECHS: (Z5) Remains Above Its Recent Lows

• RES 4: 177.08 2.000 proj of the Feb 28 - Mar 18 - Apr 7 price swing 
• RES 3: 175.43 High Jul 11 ‘24 and a key medium-term resistance
• RES 2: 174.86 1.764 proj of the Feb 28 - Mar 18 - Apr 7 price swing
• RES 1: 173.97 High Jul 28 and the bull trigger 
• PRICE: 171.51 @ 16:19 BST Aug 20
• SUP 1: 170.26 50-day EMA
• SUP 2: 169.73/45 Low Jul 31 / 23.6% of the Feb 28 - Jul 28 bull leg
• SUP 3: 168.46 Low Jul 1  
• SUP 4: 167.46 Low Jun 23   

The underlying bull trend in EURJPY remains intact and for now, short-term weakness is considered corrective. Key support to watch lies at the 50-day EMA at 170.26. A clear break of the EMA is required to highlight a stronger short-term bearish threat. Moving average studies remain in a bull-mode position highlighting a primary uptrend. Clearance of the Jul 28 high of 173.97, would resume the bull cycle.  

• Stocks remain weaker but off session lows Wednesday, markets digesting the slightly hawkish July FOMC minutes. Participants generally pointed to risks to both sides of the Committee’s dual mandate, emphasizing upside risk to inflation and downside risk to employment," the report said.
• Currently, he DJIA trades down 10.73 points (-0.02%) at 44911.47, S&P E-Minis down 28.5 points (-0.44%) at 6404.75, Nasdaq down 203.6 points (-1%) at 21111.06.
• Information Technology sector stocks led decliners on the day after Forbes reported the Trump administration "may seek equity in any such firms awarded federal grants under the Biden-era CHIPS Act. Lutnick said the government want to acquire an equity stake in Intel in exchange for grants earmarked under the CHIPS Act."
• Intel led the decline -7.45%, followed by Dell Technologies -6.03%, Micron Technology -5.71%, Keysight Technologies -5.27%, Palantir Technologies -3.01% and Super Micro Computer -2.73%.
• Consumer Discretionary sector share followed close behind: DoorDash -3.62%, Pool Corp -2.76%, Norwegian Cruise Line Holdings -2.74%, Tesla -2.71% and Best Buy Co -2.70%.
• On the positive side, Energy sector shares led gainers as crude prices rose (WTI +0.86 at 63.21): Valero Energy +1.86%, Exxon Mobil +1.41%, EQT Corp +1.23%, Phillips 66 +1.00%, EOG Resources +0.93% and Marathon Petroleum +0.92%.

• Crude has gained ground today following EIA data showing crude inventory draws, coupled with added hopes of an end to the Russia-Ukraine war.
• WTI Sep 25 is up by 1.4% at $63.2/bbl.
• Bloomberg reports that Italian PM Giorgia Meloni is pushing for security guarantees for Ukraine that, under the scenario of a peace deal or ceasefire being in place, would see its allies decide within 24 hours of a renewed Russian attack whether to provide military support to Kyiv.
• Despite today’s gains, WTI futures remain in a clear bear cycle, with initial support at $61.99, the Jun 30 low, which has been pierced. A continuation lower would open $57.71, the May 30 low.
• Initial resistance to watch is $64.72, the 50-day EMA, while key short-term resistance has been defined at $69.36, the Jul 30 high.
• Elsewhere, spot gold has risen by 0.9% to $3,345/oz, as markets remain cautious ahead of Friday's Jackson Hole appearance from Chair Powell, while headlines from Trump calling for Fed Governor Cook's resignation represent a developing risk to monitor.
• A bull cycle in gold remains intact, with sights on $3,439.0, the Aug 23 high. On the downside, first support to watch lies at $3,268.2, the Jul 30 low.
• Meanwhile, silver has also rallied by 1.1% to $37.8/oz, narrowing the gap to initial resistance at $39.655, a Fibonacci projection.