- Stocks rose across the globe on Friday to close at a fresh high and remain on track for their strongest monthly performance on record but the Nasdaq outperformed on Wall Street but Treasury yields fell, indicating lingering concerns over rising coronavirus cases globally.
- In the latest development on the road toward developing a vaccine against COVID-19, Britain gave drugmaker AstraZeneca the green light despite experts raising questions about the vaccine’s trial data. The race for a medical solution to the pandemic has led to promising vaccines from Pfizer Inc, Moderna Inc and others, fuelling optimism for light at the end of the tunnel.
- The Trump administration is poised to add China’s top chipmaker SMIC and national offshore oil and gas producer CNOOC to a blacklist of alleged Chinese military companies, according to a document and sources, curbing their access to U.S. investors and escalating tensions with Beijing weeks before President-elect Joe Biden takes office.
- Markets in Asia Pacific were mixed on Monday morning as the prospect of a vaccine-driven economic recovery next year and yet more free money from central banks eclipsed concerns about the coronavirus pandemic in the near-term. Hang Seng index fell 106 points while Nikkei 225 index gained 22 points.
- OPEC and allies led by Russia have yet to find a consensus on oil output policy for 2021, after an initial round of talks on Sunday and ahead of crucial meetings on Monday and Tuesday, four OPEC+ sources told Reuters. OPEC+ is now considering rolling over existing cuts of 7.7 million barrels per day, or around 8% of global demand, into the first months of 2021, sources have said.
Dow Jones Index
(CFD Symbol: US30)
Recommendation : Short @30,170
Last : 29,781
Target price: 29,600
Protective stop: 30,170
Price is now trading within the zone of 29,160-30,090, which is the 20EMA and the resistance-turned-support zone. There is potential divergence warning given from the MACD that warned for a potential top. If price breaks below 29,160, we could see price moving lower towards 28,550. Stochastic is at the overbought region. MACD remains bullish and there is a bearish crossover.
Trading sell at 30,170 for 29,600 with a stop above 30,270. Entry was filled on 25 Nov. Shift stop lower to cost at 30,170
Hang Seng Index
(CFD Symbol: HK50)
Last : 26,773
Price is now moving within a consolidation range. It is being resisted at 27,070 twice, and it will need to break above this resistance for more upside. A violation of 26,615 would suggest a correction towards the gap support zone at 25,930. Stochastic is falling from the overbought region. MACD is still bullish now but there is a bearish crossover.
Buy 26,200 for 27,100 with a stop below 25,900.
Nasdaq 100 Index
(CFD Symbol: USTec)
Recommendation :Short @ 12,175.
Last : 12,268
Target price : 12,070
Protective stop: 12,230 Triggered.
This index has been moving higher after being supported by the rising 20EMA. It is going to test the overhead resistance at 12,410 which capped the rally twice. A break above this resistance would hint for more upside. Stochastic is moving higher now. MACD is still bullish but is also relatively weak, and could be forming potential divergence warning.
Trading sell 12,175 for 12,070 with a stop above 12,230. Entry was filled on 26 Nov. Stop was triggered on 27 Nov.
Australian 200 Index
(CFD Symbol: AUS200)
Price is now having a correction after forming the Harami reversal candlestick pattern on 25 Nov. This index can be moving lower towards the first layer of support at 20EMA at 6468, and if price further violates this support, we could expect a further downside towards 6286. Stochastic is moving lower from the overbought zone. MACD is still bullish but there is a bearish crossover and also the divergence warning
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