David Fuller's view Japan (TPX) - A laggard but approaching upper side of large, developing base formation. A downward dynamic, such as the weekly key reversal shown last September, would be required to indicate more than brief short-term resistance near the pattern highs.

Atlantis Japan Growth Fund (AJG LN) - had a decisive breakout today to complete the base formation.

Indonesia (JCI) - Asia's performance leader is testing its 2008 high and a downward dynamic would be required to indicate more than temporary resistance here.

China (SHCOMP) - remains a significant underperformer but is quietly steady in the present range since February. It needs to sustain the progression of higher reaction lows seen since the upside key day reversal on 3rd February and a close above 3100 would reaffirm underlying support and indicate a test of overhead resistance to follow.

Hong Kong (HSI) - steadied today but really needs to break back above 21,500 to improve this rollover pattern. This would offset some of the top formation characteristics and revive the possibility that a continuation pattern was forming above the 200-day MA, in line with so many other stock market indices.

Australia (AS51) - has rallied back to the upper side of its range, just beneath the psychological 5000 level. A pause and short-term consolidation in this region would not be surprising but another downward dynamic, as occurred following the October 2009 and January 2010 highs, would be required to offset scope for an upside breakout in coming weeks.

Germany (DAX) - has rallied to a new recovery high. Some further consolidation of recent gains may now be seen in the psychological 6000 region but a downward dynamic, similar to the weekly key reversal in January, would be required to signal a significant pause before higher levels are supported by the extensive underlying ranging which has occurred.

United Kingdom (UKX) - somewhat overextended following seven consecutive weeks of gains but this has to be evaluated against the background of a ranging consolidation evident since mid-September 2009, and there has been a rising consolidation recently. A downward dynamic and/or close back beneath 5500 would be required to check upward momentum beyond a brief pause.

United States (SPX) - has been a positive influence on global stock market recently with steady gains over the last seven weeks, more than retracing the prior four-week descent. In common with many equity indices there is a short-term overstretched appearance and the S&P 500 also had a small downside key day reversal on Thursday. Consequently, a pause and consolidation would not be surprising but this should be viewed in the context of a market that appears to have established some good underlying support in recent months.

Canada (SPTSX) - has seen its rally from the rising MA pause near the psychological 12,000 level where a weekly key reversal occurred in January. However another downward dynamic would be required to reaffirm more than a short-term pause in this region.

US 10-Year Treasury Yields - continue to show what looks like support building prior to a break above the psychological 4% level, probably within the next few months. A break beneath 3.5% would be required to delay this process considerably longer.

Gold - is still ranging above its 200-day MA in this lengthy pause since the peak to date on 3rd December. Today's firm action has checked the erosion of support within the range but a sustained move above $1150 is really required to improve the pattern significantly.

Nickel (3m LME) - has resumed its advance following a consolidation above the large underlying trading band. A close under $22,000 would be required to question current scope for additional gains.

EUR/USD - has steadied near the upper side of the October 2008 to May 2009 base but needs to move above $1.36 to indicate an overall loss of downward momentum.

EUR/AUD - saw an upward dynamic today following an overstretched decline to a new all-time low. A move under A$1.46 is required to offset current scope for some additional recovery.


Global Central Bank Focus - Here is the latest report from PIMCO's Paul McCulley. It is posted without further comment.