Market News
- Tech titans Apple and Microsoft each climbed more than 1% on Friday, lifting the S&P 500 up by 1.4%. The Dow surged 260 points and Nasdaq Composite rose 139 points.
- Georgia became the first state to push ahead with its plan to allow an array of small businesses to reopen on Friday despite disapproval from President Trump and health experts.
- Eric Freedman, chief investment officer at a U.S. Bank Wealth Management warned that investors may be overestimating how quickly U.S. businesses can go back to normal, and the S&P 500 could fall 5% or more as it becomes evident that resuming normal economic activity may not happen for months.
Market Views
- Asian shares inched higher on Monday morning ahead of a busy week for earnings and central bank meetings, with much chatter the Bank of Japan (BOJ) will announce more stimulus steps. Nikkei 225 index surged 421 points and Hang Seng index rose 383 points.
- Bank of Japan is expected to expand monetary stimulus on Monday for the second straight month to ease corporate funding strains and finance huge government spending aimed at combating the deepening economic fallout from the coronavirus pandemic.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation : Short
Last : 23,871
Target price: 22,530
Protective stop: 24,100
Outlook
Price has been correcting after a bearish engulfing pattern was formed last Monday. The 20EMA is rising at the moment and has provided support to price for the past three days. A move above its recent high of 24,450 will invalidate the bearish engulfing and hint for more upside. Otherwise, price is likely to move lower if it break below the 20EMA support at 23,250. Stochastic is turning down at the moment but is still strong. MACD is bullish but a bearish crossover was seen
Trading Idea
Sell 23,450 for 22,530 with a stop above 24,100 was filled on 21 April.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 24,264
Target price:
Protective stop:
Outlook
Price was capped by the gap resistance zone that range from 24,700 to 25,010. This could be a strong resistance zone as it also coincided with the Fibonacci 38% correction point of the decline. Price is now hovering around the flat 20EMA. This index has to break above the strong resistance zone for more upside. This index is likely to range unless it can move its resistance or break below its support. Stochastic is turning down at the moment. MACD has turned bullish a bearish crossover was seen.
Trading Idea
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 8844
Target price :
Protective stop:
Outlook
The 20EMA has provided a support to the price and we have seen price moving along with the 20EMA for the past few days. This index is going to test its overhead support-turned-resistance zone at 9000. This resistance is likely to break through for a test of its all-time high at 9753. Stochastic is near to overbought zone but is likely to move up again. MACD has turned bullish as well.
Trading Idea
Wait for better trading idea
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 2853
Target price:
Protective stop:
Outlook
Price was supported by the rising 20EMA for the past few days. It has to move above its recent high of 2893 for further rally towards 2900 and 3130. A move below the 20EMA will accelerate the downside towards 2622. Stochastic is turning down at the moment. MACD has turned bullish but a bearish crossover was seen.
Trading Idea
Wait for better trading idea
