Market News
- Walt Disney shares had a big jump of a 7.3% overnight in Wall Street, boosting Dow Jones and S&P 500 for a record closing highs, after the media company said its new streaming service, Disney+, had reached 10 million sign-ups since launching the previous day.
- The three indexes had all drifted higher earlier in the day after Fed Chair Jerome Powell said U.S. central bankers see a “sustained expansion” ahead for the country’s economy. However, the Nasdaq slipped nearly 4 points due to the fresh uncertainty over the Sino-U.S. trade tensions.
- Investors also had their eyes on geopolitical developments, including presidential impeachment hearings in U.S. and protests in Hong Kong.
Market Views
- Stocks in Asia were mixed in Thursday afternoon trade, after China’s October industrial production and retail sales data came in below expectations. Nikkei 225 index was down 180 points. Hang Seng index fell 245 points weighed down by worsening political turmoil as well as a poor result from Tencent.
- Chinese industrial production data for October grew 4.7% year-on-year, Reuters reported citing official data. That compared against expectations of a 5.4% growth from a Reuters poll.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 27,773
Target price:
Protective stop:
Outlook
The index broke above the triangle pattern to close above its all-time high of 27,403 and continued with a new historical high at 27,811 last night. Price could test its next target at 27,978, which is the Fibonacci 161.8% projection target. However, a move below 27,502 is likely to bring price lower to test the 20EMA at 27,373 or the upper declining trendline. Stochastic is in the overbought extreme but is still strong at the moment. MACD is bullish.
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 26,392
Target price:
Protective stop:
Outlook
Price gapped down on Monday, confirming the Harami reversal pattern. It broke below the gap support of 27,600 as well as the 20EMA. There were a few down gaps these few days, suggesting that this index is very bearish. Support at 26,490 could not hold and we expect price to continue its strong downward momentum to test its low again at 25,540. Stochastic is moving down at the moment. MACD is still bullish but had a bearish crossover with the faster line now below the zero line.
Trading Idea
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 8249 :
Target price :
Protective stop:
Outlook
The index made a new all-time high of 8293 last night and has remained in a rising channel and above the breakout level since end-August. It is very near to its overhead resistance of 8295. Price will need to break above 8295 for a test of 8492. However, the range for the past few days has been narrowing, which is giving concern. A break below the rising channel could lead the index down to 8040. Stochastic is in its overbought extreme. MACD is bullish but a bearish crossover could be likely in the coming session.
Trading Idea
Sell 8270 for 8050 with stop above 8320
S&P 500 Index
(CFD Symbol: US500)
Trend :
Recommendation :
Last : 3092
Target price:
Protective stop :
Outlook
Price made a new all-time high of 3102 on Tuesday after breaking above an Ascending Triangle pattern. It has managed to stay above the breakout level and is trading above the gap support at 3065. The overhead resistance lies at 3180. A move below the gap support at 3065 is likely to bring price lower to test the 20EMA at 3045 or even lower at the breakout level. Stochastic is still strong at the moment. MACD is also bullish but had a bearish crossover.
Trading Idea
Wait for better trading idea.
