Market News
- U.S. stocks fell on Friday as technology shares sold off for a third day in a row, while all three major U.S. indexes posted a third straight week of declines. Apple, Microsoft, Amazon and Alphabet, which helped to fuel the market’s rally off the March lows, were among the biggest drags on the S&P 500 and Nasdaq.
- Investors kept a close eye on rising coronavirus cases overseas. European countries from Denmark to Greece announced new restrictions on Friday to curb surging coronavirus infections in some of their largest cities, while Britain was reported to be considering a new national lockdown.
- Currency strategists said the dollar weakness may signal more volatility ahead of the Nov. 3 U.S. elections where Republican President Donald Trump will face off against Democratic challenger Joe Biden.
Market Views
- Asian markets were mixed on Monday morning, as investors awaited developments on U.S. fiscal stimulus and coronavirus vaccines amid resurgence of infections in Europe. Hang Seng index slid 216 points while Japan is closed for a holiday today.
- Oil prices were higher in the morning of Asian trading hours, with international benchmark Brent crude futures hovering above the flat line to $43.16 per barrel. U.S. crude futures were slightly higher at $41.14 per barrel.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation : Long
Last : 27,642
Target price: 28,035
Protective stop: 27,330
Outlook
There is a price resistance of 28,370 that capped the price’s rally. This index is going to test its previous low of 27,199. We would like to see price holding at 27,199 for it to move higher again, else, price could be forming a lower high and lower low downtrend pattern which could target at 26,330. Stochastic could be falling again. MACD is still bullish but close to the zero line.
Trading Idea
Buy 27,575 for 28,035 with a stop below 27,330. Order was filled on 18 Sep 2020.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation : Long
Last : 24,222
Target price: 24,700
Protective stop: 24,150
Outlook
Price is now retesting the previous low of 24,246. Let’s watch for a price reaction at this support. The 20EMA is now falling and is acting as resistance at 24,715. A violation of price support at 24,246 would accelerate the downside towards 23,780. Stochastic is still weak and is falling now. MACD has turned bearish and is still declining.
Trading Idea
Buy 24,300 for 24,700 with a stop below 24,150. Order was filled on 21 Sep 202.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation :
Last : 10,930
Target price :
Protective stop:
Outlook
Price has violated the resistance-turned-support zone at around 11,070. The 20EMA is falling at the moment, hinting at the potential downside ahead. It is also acting as a resistance at 11,320. If price cannot climb back above 11,070, we could see price moving lower towards 10,310. Stochastic is at the oversold region and is still weak. MACD is still bullish but the fast line is now below the zero line.
Trading Idea
Wait for better trading idea
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3319
Target price:
Protective stop:
Outlook
Price was capped by the falling 20EMA resistance and is now testing its previous low support of 3290. A violation of 3290 would hint for more downside at the Fibonacci 62% correction point at 3185. Stochastic is at the oversold region and is turning down. MACD is still bullish but the fast line has moved below the zero line.
Trading Idea
Wait for better trading idea
