Market News
- S&P 500 and the Nasdaq hit all-time closing highs on Tuesday, but a drop in Apple stock capped gains from positive developments in U.S.-China trade and fresh progress in the medical battle against the coronavirus pandemic. The Dow, which has yet to reclaim its February high, ended the session lower.
- Trade officials in Washington and Beijing reaffirmed their commitment to Phase One of a bilateral trade deal, but goodwill between the countries soured as China called a U.S. spy plane’s flight through a no-fly zone a “naked provocation.”
- British drugmaker AstraZeneca has begun trials of its antibody-based drug for the treatment and prevention of COVID-19, the latest development in a global race to combat the pandemic.
Market Views
- Asian stocks were lower on Wednesday morning, following a mixed Wall Street lead as markets cheered signs of progress in U.S.-Sino trade negotiations but remained cautious about the broader economic outlook. Hang Seng index slid 62 points and Nikkei 225 index was down 39 points.
- Crude oil prices rose, supported by production cuts in the U.S. Gulf Coast as Tropical Storm Laura was forecast to become a major hurricane, while rising coronavirus cases in Asia and Europe capped gains. U.S. crude recently rose 0.09% to $43.39 per barrel and Brent was at $46.05, up 2.04% on the day.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 28,191
Target price:
Protective stop:
Outlook
This index has hit the Fibonacci 127% projection point of the Triangle’s rally. It ended the day with a Spinning Top candlestick pattern. With a potential divergence warning given from the MACD, a possible pullback to the 20EMA support at 27,630 can be expected if there is a follow-through candle tonight, before it continues its rally towards the Triangle target at 29,480. Stochastic is still strong at the moment and MACD is still bullish.
Trading Idea
Sell 28,280 with a stop at 28,550 for target 27,650.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 25,423
Target price:
Protective stop:
Outlook
Price rebounded after testing the key rising trendline support that formed since Mar 20 on Thursday. It is now trading near to its overhead key resistance point at 25,830, which was previously a high resistance and also the Fibonacci 62% correction point. This index has to surpass this resistance for a test of its high, else, we would see price moving lower to test the rising trendline again. Stochastic is rising at the moment and MACD has turned bullish.
Trading Idea
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 11,739
Target price :
Protective stop:
Outlook
This index has been rising steadily along with the rising 20EMA which is acting as support at the moment. A new all-time high of 11,745 was created last night, where we have seen price penetrated above its previous high. The next resistance lies at 12,870. Stochastic is still strong and is rising at the moment. MACD is bullish and had a bullish crossover.
Trading Idea
Wait for better trading idea
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3444
Target price:
Protective stop:
Outlook
Price has been rising steadily along with the rising 20EMA which is acting as support at 3362. It penetrated the Fibonacci 161% projection point of 3416 and is still moving higher. The next potential target lies at Fibonacci 200% projection at 3529. Stochastic is still strong at the overbought region. MACD is also bullish and there is a bullish crossover.
Trading Idea
Wait for better trading idea
