Market News
- U.S. stocks fell on Thursday as data on the labour market and comments from Fed official reinforced expectations the central bank will be aggressive in hiking interest rates outweighed a flurry of solid corporate earnings.
- The sales of existing homes fell for an eight straight month, while another reading showed factory activity in the Fed Bank of Philadelphia’s district contracted again in October. U.S. central bank is widely expected to announce a fourth straight 75 basis-point hike at its November meeting, with an outside chance of a full percentage point increase.
- South Korea’s trade deficit for the first 20 days of October widened to $4.95 billion, data from the customs agency showed, after recording a deficit of $4.1 billion for the same period in September. Exports for Oct.1.-20 dropped 5.5% compared to a year ago, less than the 8.7% drop in September from the same period in 2021.
Market Views
- Shares in the Asia-Pacific mostly traded lower on Friday morning as investors await inflation data from several economies. Hang Seng index was down 6 points while Nikkei 225 index slipped 55 points.
- Japan’s core consumer prices for the month of September rose 3% compared to a year ago, in line with analyst expectations and a slight increase compared to August’s 2.8% rise, while Hong Kong and Malaysia are slated to release its inflation data later in the day.
Dow Jones Index
(CFD Symbol: US30)
Trend:
Recommendation:
Last: 30,314
Target price:
Protective stop:
Outlook
Price rebounded strongly from its previous low support zone. It has moved above the 20EMA which is now acting as first layer of support at 30,120. As long as price stays above the 20EMA, we see price moving higher to 31,580. Stochastic is rising and MACD has turned bullish.
Trading Idea
Wait for better trading idea
Hang Seng Index
(CFD Symbol: HK50)
Trend:
Recommendation:
Last: 16,218
Target price:
Protective stop:
Outlook
Price could have formed a temporary bottom at 15,979. There is potential divergence warning given from both Stochastic and MACD. We could see price testing the 20EMA at 17,085. Stochastic is at the oversold zone.
Trading Idea.
Wait for better trading idea
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend:
Recommendation: Long @ 11,150
Last: 10,984
Target price: 11,850
Protective stop: 10,750
Outlook
Price rebounded strongly with a bullish candle after testing a low at 10,431. There is potential divergence warning given from MACD. It is capped by the 20EMA but as long as price stays above 10,790, we see price rebounding to move higher again. Stochastic is rising.
Trading Idea
Buy 11,150 with a stop below 10,750 for 11,850. Order was filled on 19 Oct.
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3655
Target price:
Protective stop:
Outlook
Price rebounded strongly after the intraday violation of its previous low support. It is capped by the 20EMA but as long as price stays above 3595, we are likely to see price moving higher again. Stochastic is rising and there is divergence warning given from MACD.
Trading Idea
Wait for better trading idea.
