Market News
- Wall Street tumbled on Thursday, extending its losses in late afternoon trading as a raft of economic data failed to alter the expected course of aggressive tightening by Fed amid growing warnings of global recession.
- FedEx Corp slumped 14.5% after the package delivery company said its fiscal first-quarter results were hit by global volume softness and it withdrew its financial forecast, saying it expected further deterioration of business conditions.
- A mixed bag of economic data, led by better-than-expected retail sales, cemented the likelihood of another 75 basis-point interest rate hike from the Fed at the conclusion of next week’s monetary policy meeting, as uncertainties simmered over where the central bank will go from there.
Market Views
- Shares in the Asia-Pacific fell on Friday morning as investors digest U.S. economic data and China’s industrial production and retail sales figures for August, which beat expectations. Hang Seng index fell 86 points and Nikkei 225 index slid 301 points.
- China’s industrial output is expected to come in at 3.8% for August, which is the same pace of growth as July. Retail sales are predicted to have increased 3.5% last month, compared to the 2.7% reported in July.
Dow Jones Index
(CFD Symbol: US30)
Trend:
Recommendation:
Last: 30,793
Target price:
Protective stop:
Outlook
Price was capped by the Fibonacci 50% correction point with a huge bearish candlestick pattern. It violated its recent price low and we are likely to see price falling to 29,930. Stochastic is falling and MACD remains bearish after a bearish crossover.
Trading Idea
Wait for better trading idea.
Hang Seng Index
(CFD Symbol: HK50)
Trend:
Recommendation:
Last: 18,851
Target price:
Protective stop:
Outlook
Price could have reached a temporary bottom at 18,608. There is potential divergence warning given from the MACD that hints at possible reversal ahead. Stochastic is at the oversold zone. We are likely to see price testing the 20EMA at 19,300.
Trading Idea.
Wait for better trading idea.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend:
Recommendation:
Last: 11,834
Target price:
Protective stop:
Outlook
Price was capped by the Fibonacci 50% correction point with a huge bearish engulfing candlestick pattern. It violated its recent price low as well. We could see price tumbling to 11,320. Stochastic is falling and MACD remains bearish.
Trading Idea
Wait for better trading idea.
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3874
Target price:
Protective stop:
Outlook
Price was resisted by the Fibonacci 62% correction point after forming a huge bearish engulfing candlestick pattern. It violated its recent low and we are likely to see price testing 3740. Stochastic is falling and MACD is bearish.
Trading Idea
Wait for better trading idea.
