Market News
- Dow Jones broke above 27,000 for the first time in its history, gaining 227 points higher to close at a record high. S&P 500 also posted a record close, gaining 6 points to close at 2999 while Nasdaq Composite buck the trend by slipping 6 points.
- The gains were largely driven by expectations the Fed will cut rates, insulating the market from a slowing economy and a trade battle with China, despite US inflation data posting its biggest gain in one and a half year.
- The U.S. consumer price index, a widely followed measure of inflation, rose more than expected last month, with the core CPI posting its biggest gain in 1½ years. But that failed to dent investors’ expectations that the Fed will deliver a rate cut in its next policy meeting at the end of the month.
Market Views
- Stocks in Asia rose in Friday morning trade on market optimism following overnight Dow Jones and S&P 500 index closing at their record high. The Hang Seng index rallied 141 points while Nikkei 225 index gained 9 points.
- Later today, investors will be next looking out for the release of Chinese trade data for June to assess the impact of Beijing’s ongoing trade war with Washington. Analysts are expecting exports to have fallen as weakening global demand and a sharp hike in U.S. tariffs took a heavier toll on the world’s largest trading nation.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 27,180
Target price:
Protective stop:
Outlook
Price moved above its previous high and made a record close last night. The 20EMA is still bullish and is rising. Price is heading towards the Flag pattern target at 27,500. The Stochastic is still strong and is likely to turn up again in the near term. The MACD is also bullish at the moment and the fast line could turn up again.
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 28,587
Target price:
Protective stop:
Outlook
A consecutive four days of retracement halted at the gap support which is also near the Fibonacci 38% of the rally from 4th June to 4th July. Price was supported by this support zone for the second times. A Doji was formed last night and there is a follow-through today. Price could be testing its previous high at 29,072 again. The Stochastic has turned down. The MACD is still bullish at the moment and the fast line is turning around.
Trading Idea
Wait for better trading idea.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 7914
Target price :
Protective stop:
Outlook
The recent pullback could have ended with a hammer formed on Tuesday at the 20EMA. The 20EMA is still bullish and is rising. Price could be heading towards its nearest resistance point at 8000. The Stochastic is in the overbought region but still strong at the moment. The MACD is also bullish and the fast line is turning around.
Trading Idea
Wait for new trading idea and opportunities.
S&P 500 Index
(CFD Symbol: US500)
Trend :
Recommendation :
Last : 3007
Target price:
Protective stop :
Outlook
Price recorded a new high at 3003 on Wednesday, after breaking out from a continuation Flag pattern. The 20EMA is still strong and bullish. Price could be heading towards its Flag patter target at 3046, which is also the Fibonacci 138% of the decline from 1st may to 3rd June. The Stochastic is in the overbought region but could turn up again. The MACD is also bullish at the moment.
Trading Idea
Buy at 3003 for 3046 with stop below 2985
