Market News
- S&P 500 closed at a 10-week high on Monday, on encouraging early-stage data for a potential coronavirus vaccine and on the promise of more stimulus to lift an economy beaten down by the coronavirus pandemic.
- Travel-related stocks were among the biggest gainers, with cruise line operators Carnival Corp, Royal Caribbean Cruises and Norwegian Cruise all outperforming the broader market with gains of at least 15%. Airline stocks also soared as Delta Air Lines said it would resume flying several major routes in June.
- Fed Chair Jerome Powell is set to speak before the Senate Banking Committee on Tuesday to discuss how economic rescue efforts are working.
Market Views
- Asian shares were set to rise on Tuesday morning after data from an early-stage trial for a coronavirus vaccine lifted hopes for a near-term economic recovery, sending global equity markets and oil prices surging. Hang Seng index soared 525 points and Nikkei 225 index rose 372 points.
- Oil prices jumped to their highest in over two months, as the easing of global lockdowns boosted hopes of economic activity and as producers appeared to be following through with planned production cuts.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 24,512
Target price:
Protective stop:
Outlook
This index broke above the Flag pattern last night and it could be heading towards its previous high at 24,900 and the gap resistance at 25,260. A break of this gap resistance will target the next resistance at 27,000. The flag pattern also has a price target of 29,150. Inability to break above 24,200 could bring price lower to 23,337. Stochastic is turning up at the moment. MACD is bullish.
Trading Idea
Buy 24,380 for 25,200 with a stop below 23,900.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 24,458
Target price:
Protective stop:
Outlook
This index has been ranging from 23,400 to 25,000 since April 20. It traded near the lower edge of the bottom two days ago, and a bullish One White Soldier candlestick pattern was formed that is alike on the one on 5 May. We are likely to see price moving higher towards the upper end of the consolidation range at 25,000. Stochastic is turning down but MACD is bullish.
Trading Idea
Wait for better trading idea.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 9307
Target price :
Protective stop:
Outlook
Price has been supported by the rising 20EMA support at 8920, which is also near to the resistance-turned-support zone of 9000. We will need to see price breakthrough the high of 9346 to invalidate the Bearish Engulfing reversal candlestick formed on 12 May. It has to penetrate above 9346 for further upside at the all-time high at 9753. Stochastic could be turning up. MACD has turned bullish but a bullish crossover was not seen yet.
Trading Idea
Wait for better trading idea
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 2941
Target price:
Protective stop:
Outlook
This index was capped at the gap resistance zone which coincided with the Fibonacci 62% correction point at 2933. We would like to see price breakthrough the gap resistance of 2965 for further upside at 3130. However, inability to break above 2965 will result in a test of 2790 again. Stochastic is falling at the moment but MACD is bullish.
Trading Idea
Wait for better trading idea.
