Market News
- Nasdaq posted a record closing high on Monday, becoming the first of the major indexes to confirm a new bull market, while the S&P 500 ended in positive territory for the year as expectations for a swift recovery from a coronavirus-driven downturn increased.
- Markets have been encouraged by a May U.S. jobs report last week that showed a surprise fall in the unemployment rate, bolstering views that the worst of the downturn is over and that the economy was moving towards a quick rebound.
- Chief investment strategist at CFRA Research in New York said the optimism surrounding the reopening of the global economy, and the likely confirmation that the U.S. economy will experience a V-shaped recovery in the second half.
Market Views
- Asian stocks were mixed on Tuesday morning as confidence in an economic recovery pushed the Nasdaq benchmark to a record high, although doubts about crude supply cuts were likely to keep oil prices under pressure. Hang Seng index rose 268 points while Nikkei 225 index fell 147 points.
- Oil prices fell after Saudi energy minister Prince Abdulaziz bin Salman said on Monday that the kingdom and Gulf allies Kuwait and the United Arab Emirates would not cut an extra 1.18 million bpd in July as they are doing this month.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 27,520
Target price:
Protective stop:
Outlook
This index managed to break through the gap resistance zone that ranged from 25,220 to 25,800 on Wednesday after breaking out from the Pennant pattern. The next resistance comes in at 28,380. The 20EMA is still rising at the moment, confirming the bullish trend. Stochastic is at the overbought region but is still strong at the moment. MACD is also bullish
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 25,122
Target price:
Protective stop:
Outlook
Price struggled to close at the upper end of the consolidation zone that ranged from 23,400 to 25,000 for the past two days. We would like to see this index close above 25,210 to confirm the bullish trend. And see this index testing the overhead gap resistance at 25,780. Otherwise, price could move lower to the lower end of the consolidation range at 23,400 again. Stochastic is turning up at the moment. MACD is bearish but a bullish crossover was seen.
Trading Idea
Buy at 24,850 for 25.500 with a stop below 24,650
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 9882
Target price :
Protective stop:
Outlook
This index has created a new all-time high at 9903 last night. It also broke out from the Rising Wedge chart pattern. The next potential upside lies at 10,410. The 20EMA that coincides with the lower trendline is acting as support at 9538. Caution is advised as Stochastic is already in overbought extreme. MACD is still bullish but is flat at the moment.
Trading Idea
Wait for better trading idea.
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3222
Target price:
Protective stop:
Outlook
This index has been rising along with the rising 20EMA which is acting as support to the price rally after breaking above the Flag pattern and also the gap resistance at 2965. The next resistance lies at 3397 and we see this index rising to the next resistance. Stochastic is at the overbought region and MACD is bullish at the moment
Trading Idea
Wait for better trading idea.
