Market News
- Shares on Wall Street shrugged off a sluggish start and closed higher on Thursday, with the Nasdaq ending the session above 11,000 for the first time, mainly boosted by tech-related heavyweight stocks Apple and Microsoft, as investors hoped for a new fiscal stimulus package.
- Economic data released on Thursday painted a mixed picture as U.S. Labour Department numbers showed a first fall in jobless claims in three weeks, although a separate report showed a 54% surge in job cuts announced by employers in July.
- Investors are looking to the next U.S. fiscal aid package to further cope with fallout from the COVID-19 pandemic. But Senate Majority Leader Mitch McConnell said on Thursday Republicans and Democrats remained far apart over what to include in another wave of relief.
Market Views
- Asia Pacific markets were lower on Friday morning, as investors await several economic data releases for July. Hang Seng index plunged 438 points and Nikkei 225 index was down 144 points.
- On the economic data front, China’s trade figures for July are set to be released on Friday. Investors will watch the data for clues to the health of China’s export sector as it looks to recover from the economic hit of the coronavirus pandemic.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 27,253
Target price:
Protective stop:
Outlook
On Wednesday, this index has finally broken above the triangle pattern that started since 20 June. The 20EMA is rising at the moment, confirming the bullish trend, and also acting as the first layer of support at the moment at 26,690. Stochastic is still turning up and MACD is also bullish at the moment. We could see price continue its upward momentum to move higher towards its previous high at 27,608.
Trading Idea
Wait for better trading idea
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 25,088
Target price:
Protective stop:
Outlook
The three-day corrective rally was halted by the upper edge of the consolidation zone that ranged from 23,510 to 25,010. A bearish engulfing reversal candlestick was seen yesterday, and a long bearish candlestick was follow-through today. The 20EMA is bearish and is heading lower. We are likely to see price moving lower towards the lower edge of the consolidation zone at 23,510. Stochastic could be turning down. MACD is bearish and just had a bullish crossover.
Trading Idea
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 11,215
Target price :
Protective stop:
Outlook
Price has been moving higher along with the rising 20EMA support, creating a new all-time high at 11,282 last night. The 20EMA is still strong and bullish as it is still moving higher. The next resistance lies at 11,680. Stochastic is rising at the overbought region. MACD is still bullish and there was a bullish crossover, but could form a potential divergence warning.
Trading Idea
Wait for better trading idea
Nikkei 225 Index
(CFD Symbol: JP225)
Trend:
Recommendation:
Last: 22,235
Target price:
Protective stop:
Outlook
A corrective rebound occurred after price broke below the triangle pattern. However, this rebound was capped by the lower edge of the triangle resistance; where price was unable penetrate above. The 20EMA is falling at the moment, suggesting the bearish trend ahead. We are likely to see price moving lower towards the gap support at 20,900. Stochastic is rising at the moment but MACD is bearish.
Trading Idea
Sell 22,250 for 21,000 with a stop above 23,050.
