Market News
- U.S. stocks rebounded to end sharply higher on Thursday, led by a 3% gain in the Nasdaq, in a dramatic market reversal as U.S. President Joe Biden unveiled harsh new sanctions against Russia after Moscow began an all-out invasion of Ukraine.
- Biden announced measures to impede Russia’s ability to do business in the world’s major currencies, along with sanctions against banks and state-owned enterprises after consulting counterparts from the Group of Seven nations.
- The White House has warned Americans that the conflict could lead to higher fuel prices in the U.S., but U.S. officials have been working with counterparts in other countries on a combined release of additional oil from global strategic crude reserves.
Market Views
- Asian shares were mixed on Friday morning; despite Wall Street’s overnight lead as U.S. President Joe Biden hit back at Russia with harsh sanctions after it unleashed troops, tanks and missiles on Ukraine. Hang Seng index fell 85 points while Nikkei 225 index rose 382 points.
- Western nations redoubled their efforts to crimp Russia’s ability to do business, freezing bank assets and cutting off state-owned enterprises. But they stopped short of disconnecting Russia from the SWIFT international banking system or targeting oil and gas, which some analysts said had helped markets to recover.
Dow Jones Index
(CFD Symbol: US30)
Trend:
Recommendation:
Last: 33,031
Target price:
Protective stop:
Outlook
A long legged Doji candlestick pattern was seen last night, showing a sign of indecision and a possible hint of a price low. Stochastic is at the oversold region. MACD could be giving potential divergence warning. Both are signs of a possible price low. A close above 33,273 would likely lead to a price rebound to test the 20EMA at 34,300.
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend:
Recommendation:
Last: 22,814
Target price:
Protective stop:
Outlook
This index has violated below its resistance-turned-support zone. It is now testing its previous low support zone at 22,664. If price can hold at this support level, we are likely to see price rebounding to test the 20EMA at 23,950. Else, a further price decline will be followed. Stochastic is falling and MACD has turned bearish.
Trading Idea
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend:
Recommendation: Long @ 13,850
Last: 13,831
Target price: 14,400
Protective stop: 13,500 Triggered
Outlook
This index remains bearish as it has been capped by the falling 20EMA which is acting as resistance currently. Price has slightly violated its previous low support zone. Stochastic is at the oversold region and MACD could be giving potential divergence warning. A close above 13,916 would likely to see a price rebound towards the 20EMA at 14,350.
Trading Idea
Buy 13,850 for 14,400 with a stop below 13,550. Entry and stop were triggered on 24 Feb.
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 4295
Target price:
Protective stop:
Outlook
Price has been on a decline after being capped by the Fibonacci 62% correction point of Jan-Feb 2022’s rally. It has slightly violated its previous low support zone. A close above 4274 will likely bring price higher towards the 20EMA at 4394. Stochastic is at the oversold region and MACD could be giving potential divergence warning.
Trading Idea
Buy 4210 with a stow below 4110 for 4360.
