Market News
- The benchmark S&P 500 retraced 3 points on Tuesday as investors paused in the wake of a rally buoyed by hopes of the Sino-U.S. trade deal that sent the three main U.S. stock indexes to record highs in the previous session. Dow Jones had a slight gain of 30 points and Nasdaq Composite rose 1 point.
- Stocks have also received a boost from the upbeat economic data. The ISM services index outperformed the expectation to improve to 54.7 in October. This eases the concerns that a slowdown in the manufacturing sector was spreading to other parts of the economy.
- U.S. consumers’ inflation expectations slipped again in October, with household estimates for short-term price gains sliding to the lowest ever in a New York Federal Reserve survey, a troubling sign for a central bank battling to prevent growth-sapping disinflation from taking hold.
Market Views
- Stocks in Asia were mixed in Wednesday morning as investors keep tracking on the developments on U.S.-China trade negotiations. Nikkei 225 index was up 11 points while Hang Seng index fell 85 points.
- The firmer commitments on lifting tariffs are needed for Beijing to pay a visit to America. The founder and CEO of Destination Wealth Management told CNBC that both powerhouses will need the trade deal to be done badly and he expect more progress on the deal to be seen in the rest of this year and the first quarter of next year.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 27,468
Target price:
Protective stop:
Outlook
The index broke above the triangle pattern to close above its all-time high of 27,403 two nights ago. The index made a new historical high at 27,559. As long as price stay above 27,403 previous high turned support point, we see price moving higher towards the Fibonacci 127% projection target at 28,030. The 20EMA is rising at the moment and its gradient is steep, hinting of a strong bullish trend. Stochastic is still strong at the moment and MACD is still bullish.
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 27,675
Target price:
Protective stop:
Outlook
Price gapped up and broke above the rising channel two days ago with a bullish candlestick. It has moved above the gap resistance of 27,600. This index has turned bullish and we could see a further rally towards 28,120 should it stay above the gap support zone at 27,443. The 20EMA is rising at the moment. Stochastic is still strong at the moment and MACD is bullish and just had a bullish crossover.
Trading Idea
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 8200 :
Target price :
Protective stop:
Outlook
The index made a new all-time high of 8243 last night and has remained in a rising channel and above the breakout level for the past six days. The 20EMA is rising at the moment. Price could be on the way moving higher towards its next resistance at 8256 or 8295. The index will only turn bearish if it breaks below the rising channel. Stochastic is still strong at the moment even though it is in its overbought extreme. MACD is bullish and both its lines are rising.
Trading Idea
Wait for better trade idea.
S&P 500 Index
(CFD Symbol: US500)
Trend :
Recommendation :
Last : 3070
Target price:
Protective stop :
Outlook
Price made a new all-time high of 3087 after breaking above an Ascending Triangle pattern. Price has managed to stay above the breakout level for the past six days. It is now trading near to its overhead resistance level at 3095. Price will need to move above this level for a high target at 3125. There is a small gap support at 3065. A move below 3065 would likely to retest the breakout level at 3028. Stochastic is still strong at the moment. MACD is also bullish.
Trading Idea
Wait for better trading idea.
