4 September 2017 (8:14 AM IST)
3 September 2017 (10:44 PM EDT)
Global Markets have opened with mixed numbers in Asia after North Korea declared, it has tested an “advanced hydrogen bomb.” This is what it looks like:
I laughed and laughed and laughed looking at those rubber water pipes in this supposedly “advanced hydrogen bomb.
I guess stock markets also get this “joke” now and have only reacted to currency markets upheaval, not running down like last time they did when NK supposedly fired a missile over Japan. That time, news reports had said that the United Nations had immediately convened a special meeting to tackle the crisis, but after that report, nothing was heard about any meeting in the UN.
Traders and investors also remember how U.S. stock futures had tumbled last time the NK “crisis” erupted, and then rallied to cover all those negative numbers. Because market whales know that NK is nothing but fake state-actor to trigger fear in masses from time to time.
That is why, global stocks are showing mild reaction to this “NK hydrogen bomb” theory. U.S. and European stock futures are negative but since U.S. markets will remain closed on Monday for Labor Day, lower U.S. stock futures mean nothing for global markets.
Shanghai index is positive, Nikkei is negative because yen has jumped against dollar. SGX Nifty is only marginally negative.
Expect global markets to remain range bound and choppy in this session. If European markets show muted reaction to NK news, global markets may even recover later.
Watch the support and resistance level in your local index and trade within those levels with the short term trend.
Good luck, enjoy the session!