Market News
- Wall Street ended mixed on Friday in a mostly tame finish to a week of strong gains, as investors gauged China-U.S. tensions and amid ongoing uncertainty about the pace of economic recovery from the coronavirus. U.S. stock exchanges were closed on Monday for the Memorial Day holiday.
- Late in the session, stocks edged lower after the U.S. Commerce Department said it was adding 33 Chinese companies and other institutions to an economic blacklist for human rights violations and to address U.S. national security concerns.
- American Biotech Company Novavax said Monday it started the first human study of its experimental coronavirus vaccine and expects initial results on safety and immune responses in July.
Market Views
- Asian shares were higher on Tuesday morning while U.S. stock futures challenged a major chart barrier as investors looked past Sino-U.S. trade tensions to more stimulus in China and a re-opening global economies. Nikkei 225 index rose 455 points and Hang Seng index gained 402 points.
- Oil prices were supported by falling supplies as OPEC cut production and the number of U.S. and Canadian rigs dropped to record lows for the third week running.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation : Long
Last : 24,871
Target price: 25,200
Protective stop: 24,090
Outlook
This index managed to stay above the Flag pattern after the breakout and as long as it stays above the Flag pattern, 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. Stochastic is turning up after a bullish crossover was seen. MACD is bullish and a bullish crossover was seen.
Trading Idea
Buy 24,380 for 25,200 with a stop below 23,900 was filled on 19 May.
Raise stop to 24,090 on 22 May.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 23,396
Target price:
Protective stop:
Outlook
This index broke below its key consolidation zone that ranged from 23,400 to 25,000 since April 20 on Friday. Price appears to have a rebound after touching the previous support low near 22,540. A rising window was seen today, but we would like to see price moving inside the channel again for more bullish view. Stochastic is turning down at the moment. MACD is bullish but a bearish crossover was seen.
Trading Idea
Wait for better trading idea.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 9573
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. Price has rallied above the previous high of 9500 and we could see further upside towards the all-time high at 9753 as long as price stays above the 20EMA. Stochastic is moving higher. MACD has turned bullish but a bullish crossover was seen.
Trading Idea
Wait for better trading idea.
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3004
Target price:
Protective stop:
Outlook
Previously this index was capped at the gap resistance zone which coincided with the Fibonacci 62% correction point at 2933. Price broke above this key resistance zone and we would like to see a move to the next resistance at 3130. Stochastic is rising at the moment. MACD is bullish. Both indicators are supportive of further price upsides
Trading Idea
Wait for better trading idea.
