Market News
- Wall Street’s major indexes jumped on Friday after data on historic job losses due to the coronavirus crisis showed they were slightly fewer than feared. Dow Jones soared 455 points while Nasdaq Composite and S&P 500 rose more than 1.5%.
- U.S. economy lost 20.5 million jobs in April, the Labour Department reported. Economists polled by Reuters had forecast payrolls diving by 22 million, but the decline still marked the steepest plunge since the Great Depression.
- Optimism for markets was also fed by news that U.S. and Chinese trade representatives discussed their Phase 1 trade deal, with China saying they agreed to improve the atmosphere for its implementation.
Market Views
- Asia Pacific markets followed Wall Street higher on Monday morning as investors looked ahead to more countries restarting their economies, even as some reported an unwelcome pick up in new coronavirus cases. Hang Seng index gained 467 points and Nikkei 225 index was up 287 points.
- South Korea warned of a second wave of the new coronavirus as infections rebounded to a one-month high, while new infections accelerated in Germany.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 24,530
Target price:
Protective stop:
Outlook
Price is rising along with the rising 20EMA, which is acting as a support to the price. We foresee that this index is likely to move higher towards the overhead gap resistance zone that range from 25,220 to 25,800. It has to surpass this resistance zone for further upside. Stochastic is turning up. MACD is bullish and a bullish crossover is likely in the near term.
Trading Idea
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Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 24,746
Target price:
Protective stop:
Outlook
Today, this index has closed its falling window that was created on 4th May. It is going to test its overhead strong gap resistance zone that range from 24,700 to 25,010 again, which is also coincided with the Fibonacci 38% correction point of the decline. This resistance zone has to be surpassed for further upside; otherwise we could see a price correction again. Stochastic is turning up at the moment. MACD is bullish and a bullish crossover was seen.
Trading Idea
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 9282
Target price :
Protective stop:
Outlook
This index had penetrated above its overhead support-turned-resistance zone of 9000 last Thursday after being supported by the rising 20EMA. It has also penetrated above its recent peak of 9219. Price is likely to move higher towards its all-time high at 9753. Stochastic is rising at the moment. MACD has turned bullish and a bullish crossover was seen
Trading Idea
Wait for better trading idea
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation: Long
Last: 2949
Target price: 2935 Reached
Protective stop: 2866
Outlook
This index has rebounded from the 20EMA support and is going to test its gap resistance zone which coincided with the Fibonacci 62% correction point at 2933. We look forward for price to surpass this resistance zone for more upside to 3130. However, inability to break above 2973 will result in a test of 2790 again. Stochastic is rising at the moment. MACD is bullish and a bullish crossover is likely.
Trading Idea
Wait for better trading idea.
