Market News
- Wall Street ended mixed on Thursday, with a gain in Microsoft offsetting a dip in Apple, a day after the Fed cut interest rates as expected and left the door open for further monetary easing.
- S&P 500 ended unchanged last night, closing less than 1% below its closing record high hit in July due to recent easing in U.S.-China trade tensions. Dow Jones fell 52 points while Nasdaq Composite rose 5 points.
- The Fed injected another $75 billion into the U.S. banking system on Wednesday, restoring a measure of order after the central bank’s benchmark interest rate rose above its targeted range for the first time since the financial crisis.
Market Views
- Stocks in Asia Pacific edged up in Friday morning as a series of developments overnight on the U.S.-China trade front dampened hopes of a trade resolution between the 2 largest economies in the world. Nikkei 225 index gained 97 points and Hang Seng index was up 73 points.
- The South China Morning Post reported Thursday that known China hawk and Trump advisor Michael Pillsbury warned that Washington is ready to escalate the trade war if a deal isn’t struck soon. Hu Xijin — editor-in-chief of Chinese state media Global Times, tweeted overnight that China is “not as anxious to reach a deal as the US side thought.”
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 27,110
Target price:
Protective stop:
Outlook
Price has been consolidating for the past four days after reaching an almost all-time high last Friday. A small gap was created on Monday, acting as a resistance to the price rally. Price will need to move above 27,320 to be bullish again. A move below 26,890 could lead to a test of 26,520, which is the Fibonacci 38% retracement point and the resistance-turned-support level. Stochastic has turned down but still look strong at the moment. MACD is also bullish.
Trading Idea
Wait for a better trading idea
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 26,609
Target price:
Protective stop:
Outlook
The index was capped by Fibonacci 62% resistance point, which is also the upper gap resistance. Price is now sitting at the 20EMA support level, which is also near to Fibonacci 38% retracement level. As long as price hold at this level, we could see a test to break its recent high. However, price could head lower to 25,900 or 25,500 if price close below 20EMA. Stochastic has turned down from the overbought extreme but MACD is still bullish at the moment.
Trading Idea
Wait for better trading idea.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 7911
Target price :
Protective stop:
Outlook
Price managed to stay well above the breakout level of 7780 since 5 September. The index has been consolidating around the range from 7780 to 7970. The 20EMA is rising and is providing a support to price. Price is likely to break above 7970 resistance for a test to its previous all-time high at 8035. Stochastic has turned down but still look strong at the moment. MACD is has also turned bullish with both lines above the zero line.
Trading Idea
Look to buy dip to 7830. Stop below 7710 for a test to 7980
S&P 500 Index
(CFD Symbol: US500)
Trend :
Recommendation :
Last : 3008
Target price:
Protective stop :
Outlook
This index has been moving higher since 5 September and is trading near to its previous all-time high at 3028. Price is now in a consolidation zone within the range of 2977 to 3022. The 20EMA is rising and is providing a layer of support. Price will need to break above 3022 for a test to its recent peak or even higher at 3095. Stochastic is still look strong at the moment and a bullish crossover is likely in the coming session. MACD is also bullish at the moment.
Trading Idea
Wait for better trading idea.
