CFD Indices – Dow Jones Closed Above 34,000

Market News

  • The Dow closed above 34,000 for the first time on Thursday as the blue-chip benchmark and S&P 500 posted fresh record highs on a tech stock rally fueled by falling bond yields and strong March U.S. retail sales. Nasdaq Composite advanced 180 points as well.
  • U.S. retail sales rose by the most in 10 months in March as Americans received additional pandemic relief checks from the government and increased COVID-19 vaccinations allowed broader economic re-engagement, cementing expectations for robust growth in the first quarter.
  • U.S. on Thursday imposed a broad array of sanctions on Russia, including curbs to its sovereign debt market, to punish it for interfering in last year’s U.S. election, cyber hacking, bullying Ukraine and other alleged malign actions.

Market Views

  • Asian shares higher on Friday morning ahead of a raft of Chinese economic data, while world stocks on the whole flew at a record level, fuelled by strong U.S. economic data that may herald a solid recovery ahead. Hang Seng index rose 11 points and Nikkei 225 index was up 39 points.
  • Oil prices held firm after hitting a four-week highs on Thursday following positive U.S. economic data and higher demand forecasts from the International Energy Agency (IEA) and OPEC.

Dow Jones Index
(CFD Symbol: US30)
Trend :
Recommendation : Short @ 33,600
Last : 34,016
Target price: 33,050
Protective stop: 33,900 Triggered

Outlook
Price has penetrated above the Fibonacci 200% projection level after breaking out from the consolidation zone. The next resistance lies at 34,360. The 20EMA is acting as support at 33,360. Do watch out for the reversal candlestick pattern as there is divergence warning given from both Stochastic and MACD. Stochastic is at the overbought region now and MACD is still bullish.

Trading Idea
Sell 33,600 for 33,050 with a stop above 33,900. Entry order was filled on 9 April. Stop was triggered on 15 April.

Hang Seng Index
(CFD Symbol: HK50)
Trend :
Recommendation :
Last : 28,843
Target price:
Protective stop:

Outlook
Price was capped by the falling trendline that formed since early March 2021. As long as this index is capped by this trendline resistance, we are likely to see price moving lower to test its previous low again at 27,500. Stochastic is rising now but MACD is still bearish.

Trading Idea
Buy 28,800 for 29,700 with a stop below 28,385.

Nasdaq 100 Index
(CFD Symbol: USTEC)
Trend :
Recommendation :
Last : 13,980
Target price :
Protective stop:

Outlook
This index has continued its upward strength and has broken its overhead resistance at 13,908. As long as price can stay above 13,908, there is still chance for price moving higher. The 20EMA is still rising and is acting as support at 13,550. Stochastic is still rising now and is at the overbought region. MACD has turned bullish.

Trading Idea
Wait for better trading idea

S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 4164
Target price:
Protective stop:

Outlook
Price has been rising along with the rising 20EMA which is acting as support at 4060. This index has created a new all-time high at 4174. The next resistance lies at 4206. Stochastic is rising at the overbought region now and MACD is still bullish.

Trading Idea
Wait for better trading idea

Related Posts

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.