- The Dow rose above a key level on Thursday, led by a rise in Boeing on signs of demand returning for the beleaguered Max jets, while ongoing optimism for much-needed stimulus aid continued to underpin investor sentiment. S&P closed marginally lower while the Nasdaq Composite gained 27 points.
- Pfizer expects to ship about 50 million doses of the Covid-19 vaccine, developed in partnership with BioNTech, as raw materials used in early production of the vaccine were not up to standard, cooling hopes of a sooner rather than later vaccine widespread rollout that is needed to reopen economies worldwide.
- U.S. lawmakers were unable to agree on a fresh relief package, but there were signs a $908 billion bipartisan proposal was gaining support as a negotiating tool. Joe Biden coming to power in Washington could lead to more stimuli, said Daniel Pavilonis, senior market strategist at RJO Futures.
- Markets in Asia Pacific slipped on Friday morning as U.S. legislators wrangled over a fiscal stimulus and negotiations over a Brexit trade deal continued. Hang Seng index was down 41 points and the Nikkei 225 index declined 136 points.
- Pentagon announced that China largest chipmaker Semiconductor Manufacturing International Corp and oil producer CNOOC were among firms added to the blacklist.
Dow Jones Index
(CFD Symbol: US30)
Last : 29,997
Price is now trading within the rectangle consolidation zone of 29,160-30,210, which are the resistance-turned-support zone and the previous resistance high. The 20EMA has been rising steadily and is now providing support to the index at 29,495. As long as price stay above the 20EMA, there is chance of price breaking above 30,210 to move higher. Stochastic is still strong despite having a bearish crossover. MACD remains bullish.
Buy 29,610 for 30,000 with a stop below 29,390.
Hang Seng Index
(CFD Symbol: HK50)
Last : 26,684
Price is now moving within a consolidation range. It is being resisted at 27,070 for the third times, and it will need to break above this resistance for more upside. A violation of the 20EMA at 26,350 would suggest a correction towards the gap support zone at 25,900. Stochastic is falling from the overbought region. MACD is still bullish now but there is a bearish crossover.
Sell 26,990 for 26,400 with a stop above 27,130
Nasdaq 100 Index
(CFD Symbol: USTec)
Last : 12,491
Target price :
This index penetrated above its previous resistance high and created a new all-time high at 12,539 last night. However, last night’s breakout has shown little sign of indecision, and we would like to see price stay above 12,410 for at least three consecutive days for further upside. Stochastic is at the overbought region. MACD is still bullish but is also relatively weak, and could be forming potential divergence warning.
Buy 12,450 for 12,700 with a stop below 12,280.
S&P 500 Index
(CFD Symbol: US500)
Price is now moving within an ascending triangle pattern. The 20EMA is rising now, suggesting the bullish trend and is acting as support at 3591, which is also near to the lower triangle support. Stochastic is at the overbought region now. MACD is still bullish and a bullish crossover is likely, hinting that price could be breaking above the triangle pattern to move higher.
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