Market News
- U.S. stocks rallied on Tuesday and the Dow breached the 30,000 level for the first time, as investors anticipated a 2021 economic recovery on coronavirus vaccine progress and the formal clearance for President-elect Joe Biden’s transition to the White House.
- President Trump finally gave the green light for the formal transfer of power to begin on Monday, a process that was delayed for weeks despite Democrat Joe Biden emerging as the clear winner in the U.S. elections. The General Services Administration told Biden he could formally begin the handover process.
- Sentiment this week was also boosted by reports that Biden planned to nominate former Federal Reserve Chair Janet Yellen as Treasury Secretary, which could shift the focus heavily toward efforts to tackle growing economic inequality.
Market Views
- Asian stocks made early gains on Wednesday, following a world rally overnight that saw the Dow Jones benchmark crack 30,000 for the first time as investors cheered a dramatically improved global outlook. Hang Seng index surged 337 points and Nikkei 225 index advanced 440 points.
- The U.S. securities regulator on Tuesday proposed a pilot program to allow tech companies like Uber and Lyft to pay gig workers up to 15% of their annual compensation in equity rather than cash, a move it said was designed to reflect changes in the workforce.
Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation :
Last : 30,156
Target price:
Protective stop:
Outlook
Price rebounded from the resistance-turned-support zone, where the 20EMA also acts as support at the same level. It is now penetrating its recent high of 30,115, and the next resistance lies at 31,170. Stochastic is still strong but is at the overbought region. MACD remains bullish and there is a bullish crossover.
Trading Idea
Trading sell at 30,170 for 29,600 with a stop above 30,270.
Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 26,886
Target price:
Protective stop:
Outlook
Price is still trading within a range of 25,890 to 26,870, which is where the gap support and the Jul 20’s resistance high lie. It is testing the upper boundary and if a breakout occurs, we could see price moving higher towards 27,920. Stochastic is still strong but at the overbought region. MACD is also strong and bullish now.
Trading Idea
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend :
Recommendation : Long @ 11,850
Last : 12,152
Target price : 12,050 Filled
Protective stop: 11,700
Outlook
The rising 20EMA has been acting as support at the moment, where we have seen price moving higher along with the 20EMA. As long as price stays above the 20EMA at 11,860, the uptrend remains intact, and there is chance for this index moving higher again. Stochastic is relatively weak at the moment, and there is a bearish crossover. MACD is still bullish but a bullish crossover could be likely.
Trading Idea
Buy 11,850 for 12,050 with a stop below 11,700. Entry was triggered on 23 Nov. Profit order was filled on 24 Nov.
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3649
Target price:
Protective stop:
Outlook
This index has been maintaining above the gap support that was created on 9 Nov, which is also near to the Fibonacci 38% correction point of Oct-Nov 20’s price swing. The 20EMA is also comes in at this level at 3542. We could see price moving higher towards the previous high of 3674 and 3790. Stochastic is moving up again and MACD is still bullish.
Trading Idea
Wait for better trading idea
