Market News
- The benchmark S&P 500 was the only index that posted a slim gain to end with a record closing high on Thursday, as a dour forecast from tech giant Cisco Systems was offset by a strong report from big box retailer Walmart. Dow Jones and Nasdaq Composite ended barely negative.
- On the prolonged Sino-U.S. trade front, the White House economic adviser Larry Kudlow said that Washington was getting close to a trade agreement with China, while China’s commerce ministry said that the two countries are holding “in-depth” discussions on a first phase trade agreement, and that cancelling tariffs is an important condition to reaching a deal.
- Economic data are flashing signs of a global economic slowdown. The latest evidence that the U.S.-China trade war has hurt the global economy was illustrated by sub-par growth figures on Thursday from China and Japan, followed by lackluster updates in Britain and Europe.
Market Views
- Asian equities rose on Friday morning after the S&P 500 notched a new record closing high, but investor sentiment remained fragile following weak data from China and Germany, which reinforced concerns about the global economy. Hang Seng index rose 112 points and Nikkei 225 index gained 164 points.
- Hong Kong is expected to confirm on Friday it plunged into recession for the first time in a decade, amid concerns the economy could be in even worse shape than feared as months of anti-government protests take a heavy toll.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 27,873
Target price:
Protective stop:
Outlook
The index has been moving higher after breaking above the triangle pattern to close above its all-time high of 27,403. It continued to make a new historical high at 27,841 last night. Price is on the way moving higher to test its next target at 27,978, which is the Fibonacci 161.8% projection target. 20EMA is rising and MACD is rising and bullish Stochastic is in the overbought extreme but is still strong at the moment.
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 26,434
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 may 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 : short
Last : 8292 :
Target price : 8050
Protective stop: 8320
Outlook
The index made a new all-time high of 8293 on Tuesday and has remained in a rising channel and above the breakout level since end-August. It hit its overhead resistance of 8295 today. 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 was filled on 14 Nov 2019
S&P 500 Index
(CFD Symbol: US500)
Trend :
Recommendation :
Last : 3108
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. Price is well supported at 10EMA. As long as price stay above 10EMA, price could be moving higher towards the next resistance at 3183. A move below 10EMA would likely to bring price lower to test the gap support at 3065. Stochastic is still strong at the moment. MACD is also bullish but had a bearish crossover..
Trading Idea
Wait for better trading idea.
