Trading day in one post 17.01.2017

Asian markets traded mixed on Tuesday, as investors remained cautious ahead of British Prime Minister Theresa May's speech on Brexit plans due later in the global day, as well as President-elect Donald Trump's inauguration stateside at the end of the week.

In her speech, May is expected to outline plans for the United Kingdom's plans to exit the European Union. On Monday, the British pound fell to three-month lows, following local media reports that suggested May will announced a "clean" and "hard" Brexit, pulling the country from the European market and the European customs union, in exchange for the ability to control immigration laws and leave the jurisdiction of the European Court of Justice.

The pound traded at $1.2046, up slightly, as of 10:28 a.m. HK/SIN on Tuesday. The euro gained against the pound, with the pair up 0.11 percent at 0.8803.

Japan's Nikkei Stock Average traded down 0.50 percent, retracing some of its earlier losses of near 1 percent, while the Topix index slipped 0.66 percent.

The yen traded at 114.12 at 10:26 a.m. HK/SIN, retreating from an earlier session high of 113.81, but climbing from levels above 116 to the dollar in the previous week on safe haven demand.

The currency's relative strength kept major Japanese exporters under pressure. Shares of automakers Toyota dropped 0.50 percent, Nissan was up 0.22 percent, after reversing losses of 0.6 percent, and Honda was off by 1.07 percent, while electronics maker Sharp fell 2.01 percent.

Australia's benchmark ASX 200 was down 0.79 percent in afternoon trade, with most sectors lower. The financial sector was off 0.98 percent, with major banks selling off. Shares of ANZ fell 1.43 percent, Commonwealth Bank of Australia off by 0.86 percent, Westpac down by 0.85 percent and the National Australia Bank off by 1.06 percent.

Chinese mainland markets traded mixed, with the Shanghai composite down 0.14 percent and the Shenzhen composite up 0.06 percent. Hong Kong's Hang Seng index advanced 0.36 percent.

USD - It looks like the dollar managed to find support. The currency weakens after the end of 2016, but the fundamental analysis remains strong for the dollar. Current levels present us opportunity for long positions.

GBP - Everybody is looking toward Theresa May. During today's speech of the PM of UK , either the pound will find strong ground or will be send back to the levels of the flash crash. Fundamental the sterling is weak. But this may change. Yesterday, after M.Carney's statement we got that BoE is ready to act if necessary.

JPY - From the start of the year the Yen is among the strongest currencies in the market. But until? BoJ did not changed their monetary policy, neither they are planning to increase interest levels. Maybe we are currently seeing healthy correction before another big drop. We remain cautious at yen crosses , and maybe take short position but only after convincing signal.

EUR - The EUR remains relatively stable. Today we are expecting important data from EU. The fundamental analysis is more like for a weak EUR. We can seek short positions against the weaker than the EUR currencies.

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