- Last night, S&P 500 touched a record high on the back of a recent pause in tariff escalation and a willingness to resume negotiation towards a trade deal between the U.S. and China. Dow Jones rose 117 points and Nasdaq Composite gained 84 points.
- U.S. stocks climbed on Monday, but finished off earlier highs, led by gains in technology stocks on optimism for progress in U.S.-China trade talks and signs of a likely reprieve for Chinese telecom company Huawei.
- Still, stocks had given up a good portion of their earlier gains as investors contemplated whether the Fed would be as dovish as has been anticipated recently and caution crept back in for what is likely to be a lightly traded week due to the July Fourth holiday.
- Asian markets edged up in Tuesday, following overnight rally from Wall Street, after the two largest economies in the world agreed to resume talks to reconcile their trade differences. Nikkei was up 24 points while Hang Seng jumped 310 points after a holiday on Monday.
- Investors await Australian central bank’s rate decision which set to announce later today, with market expectations that interest rates will be cut as the monetary policy outlook for Australia is considered more dovish than the U.S.
Dow Jones Index
(CFD Symbol: US30)
Last : 26,714
Price broke above a continuation pattern, the flag pattern, with a bullish green candlestick on Friday. Price almost hit its high at 26,909 last night. The 20EMA is still bullish and heading upwards. Price could be testing 26,909 again. Should price manage to break above 26,909, it could go higher to test the flag pattern target at 27,500. Stochastic could be turning up again. MACD is still bullish
Wait for dip to buy or buy on the break of 26,909.
Hang Seng Index
(CFD Symbol: HK50)
Trend : Bullish
Recommendation : Long
Last : 28,966
Target price: 29,510
Protective stop: 28,000
Price broke above the triangle pattern with a gap up today. The 20EMA is still strong and bullish. Should price stay firm above 28,802, price could be testing the overhead gap resistance zone at 29,377 to 29,480. Stochastic is in the overbought region but still look strong as it is crossing up again. MACD is also bullish at the moment.
Buy dip to 28,500 for 29,510 with stop below 28,000. Trade idea was executed 27 June 2019.
Nasdaq 100 Index
(CFD Symbol: USTec)
Last : 7762
Target price : 7790 reached
Price rebounded from the downtrend line last Wednesday. The 20EMA is still strong and bullish. Price could test its previous high at 7790 again. A move above 7790 would hint at a possible higher target at 7859 and even 8000. Stochastic could be turning up soon. MACD is still bullish and a bullish MACD crossover is likely in the near term.
Wait for new trading idea and opportunities.
S&P 500 Index
(CFD Symbol: US500)
Last : 2965
Protective stop :
Price hit its record high and managed to stand firm above 2958 last night. The 20EMA is still strong and bullish. Price could be testing its Fibonacci 127% of the decline from 1st May to 3rd June at 3020. Stochastic is in the overbought region but a bullish crossover is likely in the near term, hinting at the strong momentum. MACD is also bullish at the moment.
Wait for better trading opportunities.