Market News
- Wall Street roared back to life on Wednesday, with both the Dow and S&P 500 surging more than 4%, after former Vice President Joe Biden’s strong showing in the Super Tuesday Democratic primary contests injected a dose of confidence and boosted the healthcare stocks.
- Biden emerged as the front-runner in a narrowing race for the Democratic presidential nomination following a string of primary victories, providing relief to market participants who are wary of the more progressive policy positions of rival Bernie Sanders, a self-described democratic socialist.
- U.S. services sector activity jumped to a one-year high in February, suggesting strength in the economy before a recent escalation of recession fears ignited by the coronavirus epidemic that prompted an emergency interest rate cut from the Fed.
Market Views
- Markets in Asia Pacific were looking to rally for a fourth straight session on Thursday morning, following the overnight rally U.S. markets. Another dose of central bank stimulus offered some salve for the global economic outlook as well. Hang Seng index rose 205 points and Nikkei 225 index gained 199 points.
- Italy took precautionary action to prevent further infection of the Covid-19 by closing all of its schools and cutting down more flights.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 26,834
Target price:
Protective stop:
Outlook
Last Friday, this index ended the week with a Hammer candlestick pattern and the index has managed to stay above this low. Price tested its previous day’s high and also the 27,090 last night. Support is now at 25,700 while resistance lies at 27,145. The next resistance lies at the 20EMA at 27,600. Stochastic is turning up from near to the oversold region. MACD has turned bearish but is likely to have a bullish crossover.
Trading Idea
Wait for better trading idea
Hang Seng Index
(CFD Symbol: HK50)
Trend : Neutral
Recommendation : Long
Last : 26,518
Target price: 26,850
Protective stop: 26,220
Outlook
Last Friday, this index ended the day with a Hammer like candlestick pattern, which could be a sign of potential reversal. It is also sitting just above at its previous low, which has provided support to the price decline for three occasions. As long as the low at 25,640 holds, there is chance for this index to move higher to test 26,860. Stochastic is crossing up from the oversold zone. MACD is bearish but could be forming a divergence warning.
Trading Idea
Buy 26,300 for 26850 with stop below 26,000 was filled on 3 Mar. Shifts stop higher to 26,220.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 8838
Target price :
Protective stop:
Outlook
The index saw a technical rebound to 9001 two nights ago after a potential Hammer looking candlestick pattern from last Friday provoked the rebound. As long as the Hammer’s low of 8123 holds, we could see a technical rebound to test higher to the 20EMA at 9026. Stochastic is turning up from near to the oversold region. MACD is bearish but the fast line is moving higher.
Trading Idea
Wait for better trading idea
S&P 500 Index
(CFD Symbol: US500)
Trend :
Recommendation :
Last : 3094
Target price:
Protective stop :
Outlook
This index continued to move higher to 3131 last night after tumbling lower one night ago. The support is now lying at 2974 and if this support holds, there is chance for a retest of 3179 or 3190. A decline below 2856 would likely see the index moves lower to 2800. Stochastic is moving higher and near to the oversold region. MACD is bearish at the moment.
Trading Idea
Wait for better trading idea
