Market News
- S&P 500 gained 18 points, notching its biggest daily gain in two weeks on Wednesday as investors shrugged off the news of an impeachment inquiry into President Trump. Dow Jones rallied 162 points while Nasdaq Composite rose 83 points. Nike was the biggest contributor due to upbeat quarterly results.
- Political worries eased as investors largely shrugging off the Democrats’ decision to begin an impeachment inquiry into Trump. That came even as a summary of a telephone call showed Trump asked Ukraine’s president to investigate a political rival.
- The renewed optimism on trade front boosted market sentiments as well. Trump told reporters at the United Nations that a trade deal between Washington and Beijing could come sooner “than you think”, which would remove a huge risk to the global economic outlook.
Market Views
- Stocks in Asia Pacific edged up on Thursday morning as hopes the U.S. and China may soon end their year-long trade war while worries about U.S. presidential impeachment bid ebbed. Hang Seng index rose 74 points and Nikkei 225 index was up 49 points.
- Trump said the U.S. and Japan had reached an initial trade agreement. They signed a limited trade deal on Wednesday that cuts tariffs on American farm goods, Japanese machine tools and other products while further staving off the threat of higher U.S. car duties.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 26,964
Target price:
Protective stop:
Outlook
Price is in a correction after a tweezer top candlestick pattern was formed near its all-time high resistance. The 20EMA is acting as support and has halted the price decline for the past three days even though there was intraday penetration last night. A move below 26,680 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 from the overbought extreme. MACD is still bullish at the moment.
Trading Idea
Wait for a better trading idea
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 26,055
Target price:
Protective stop:
Outlook
The index has been falling for eight consecutive days after being capped by Fibonacci 62% resistance point, which is also the upper gap resistance. Price has moved below 20EMA and is now near to the key Fibonacci 62% retracement point. We could see a price rebound if price could stay above Fibonacci 62% at 25,900. A violation of 25,900 could lead to a test of previous low. Stochastic has turned down and is near to the oversold region. MACD is still bullish at the moment.
Trading Idea
Wait for better trading idea.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 7791
Target price :
Protective stop:
Outlook
A price decline two nights ago has brought price to break below 7780 breakout level and 20EMA. Price rebounded and closed above 7780 last night. As long as price stays above 7780, we could see a test to previous high again. A close below 7780 could see further correction to 7500. Stochastic has turned down from the overbought extreme but MACD is still bullish at the moment with both lines above the zero line.
Trading Idea
Wait for better trading idea.
S&P 500 Index
(CFD Symbol: US500)
Trend :
Recommendation :
Last : 2982
Target price:
Protective stop :
Outlook
The index was capped at 3022, which is near to its all-time high resistance at 3028. Price has been in the correction since then. The 20EMA is providing a support to price. As long as price is supported at 20EMA, price is likely to retest its high again. A move and close below 20EMA would target the breakout level at 2940. Stochastic is turning down from the overbought region. MACD is still bullish at the moment.
Trading Idea
Buy 2970 for 3020 with stop below 2930 was filled yesterday.
