Market News
- Wall Street stumbled on Tuesday as dire consumer confidence data dampened investor optimism and fueled worries over recession and the looming earnings season. S&P 500 and the Nasdaq fell about 2% and 3% respectively, with Apple, Microsoft and Amazon weighing the heaviest.
- Data released on Tuesday morning showed the Conference Board’s consumer confidence index dropping to the lowest it has been since February 2021, with near-term expectations reaching its most pessimistic level in nearly a decade.
- China announced an easing of its quarantine requirements for inbound passengers, in what some observers saw as the biggest relaxation so far of its “zero COVID” strategy.
Market Views
- Stocks fell across Asia on Wednesday morning, extending overnight losses on Wall Street amid concerns over recession, inflation and high oil prices, which also boosted the safe-haven dollar. Hang Seng index slid 344 points and Nikkei 225 index lost 289 points.
- Oil prices fell back slightly after three sessions of gains, but global supply tightness underpinned the market. An overnight report suggested that Saudi Arabia and the United Arab Emirates are unable to raise output significantly in the near future.
Dow Jones Index
(CFD Symbol: US30)
Trend:
Recommendation:
Last: 30,982
Target price:
Protective stop:
Outlook
Price retraced after hitting the Fibonacci 62% correction point last night. A bearish candlestick was formed and price closed below the 20EMA. We are likely to see price decline to 30,500. Stochastic is still weak and MACD is bearish.
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend:
Recommendation: Long @ 21,300
Last: 22,041
Target price: 22,200 Triggered
Protective stop: 20,850
Outlook
Price has been trading near to its previous high resistance zone. Both Stochastic and MACD are giving potential divergence warnings that the upward movement is losing strength. We are likely to see price correcting to the 20EMA at 21,430.
Trading Idea.
Buy 21,300 for 22,200 with a stop below 20,850. Entry price was filled on 23 June. Profit target was triggered on 27 June.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend:
Recommendation:
Last: 11,661
Target price:
Protective stop:
Outlook
This index retraced after testing the Fibonacci 62% correction point last night. Price was unable to surpass this resistance zone and we are likely to see a correction to 11,490, and a further violation of 11,490 will hint for 11,040. Stochastic is still weak and MACD is bearish.
Trading Idea
Wait for better trading idea.
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3826
Target price:
Protective stop:
Outlook
Price was resisted by the Fibonacci 50% correction point. A bearish candle was formed last night, sending this index to close below the 20EMA. We could see price decline to 3754. Stochastic is still weak and MACD is bearish.
Trading Idea
Wait for better trading idea.
