Market News
- S&P 500 ultimately settled in red, along with the blue-chip Dow, while the tech-heavy Nasdaq closed nominally higher on Friday after an up-and-down session as investors weighed spiking cases of COVID-19 and Apple Inc’s announcement of fresh store closures against anticipated stimulus and continued economic recovery.
- Apple Inc, the canary in the coalmine with respect to other businesses, announced it is temporarily shutting some stores again in Florida, Arizona, South Carolina and North Carolina, which have seen a spike in coronavirus cases in recent days. Other businesses will do similar things in some of the states where the virus re-emerge.
- Investors will watch for market reaction to the rising number of coronavirus cases in the U.S., with more than 30,000 new infections reported on Friday and Saturday — the highest daily totals since May 1 — according to data compiled by Johns Hopkins University.
Market Views
- Stocks in Asia were little changed in Monday morning trade as the number of coronavirus cases stateside soared again offsetting hopes of an economic revival. Hang Seng index slipped 78 points while Nikkei 225 index was up 86 points.
- An official said Sunday that the Chinese capital of Beijing is capable of screening almost 1 million people a day for the coronavirus, according to Reuters. That development came on the back of a recent cluster of infections that was found in the city.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 25,830
Target price:
Protective stop:
Outlook
This index could be forming a potential Flag pattern, and price appears to rebound from the gap support zone, which is also the Fibonacci 50% correction point at 25,200. Let’s see it price can breakout from this Flag to continue its upward momentum towards its all-time high at 27,608. The support point of 24,560 is crucial, and if price breaks below this support, we could see this index declining to 22,787 again. Stochastic could be turning up. MACD is still bullish at the moment.
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 24,592
Target price:
Protective stop:
Outlook
Price has fallen inside the consolidation zone that ranged from 23,400 to 25,000 and we expect this index to move within this range, until either end of the range boundary is broken for the next directional move. The 20EMA is currently flat, suggesting that price is moving in sideways manner. Stochastic could be turning up. MACD is bullish but a bearish crossover was seen
Trading Idea
Sell 24,800 for 24,360 with a stop above 25,150.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 10,001
Target price :
Protective stop:
Outlook
The three days’ price decline was halted when this index hit the 20EMA, where it had provided support to the price. A bullish engulfing pattern was formed on last Monday, suggesting a potential bottom. We are likely to see this index tests its all-time high at 10,155. The next resistance lies at 10,590. A decline below 9384 would indicate a top and further decline to 9000. Stochastic is turning up. MACD is still bullish but a bearish crossover was seen.
Trading Idea
Wait for better trading idea
Nikkei 225 Index
(CFD Symbol: JP225)
Trend:
Recommendation:
Last: 22,341
Target price:
Protective stop:
Outlook
This index was capped by the gap resistance zone at around 23,226. It is still hovering around the rising 20EMA at the moment, but the body of recent candlesticks are small, which could be sign of weakness. A violation of the 20EMA at 22,086 will target for the first Fibonacci support at 20,310. Stochastic could be turning up. MACD is still bullish but a bearish crossover was seen.
Trading Idea
Wait for better trading idea
