Market News
- S&P 500 ended higher on Thursday, snapping a five-session losing streak, as investors interpreted data showing a rise in weekly jobless claims as a sign the pace of interest rate hikes could soon slow. The Dow and Nasdaq closed positively as well.
- Moderna advanced 3.2% after the U.S. Food and Drug Administration authorized COVID-19 shots from the vaccine maker that target both the original coronavirus and Omicron sub-variants for use in children as young as six months old.
- The inversion of the 3-month and 10-year Treasury yield curve is now the deepest since January 2001 at nearly 90 basis points, according to CNBC data. Many economists view the 2-year 10-year part of the yield curve as more predictive of a potential recession.
Market Views
- Shares in the Asia-Pacific rose on Friday morning, following overnight Wall Street’s rally as well as China inflation data came in roughly in line with expectations. Hang Seng index rose 43 points and Nikkei 225 index gained 370 points.
- China’s producer price index fell 1.3% in November compared to a year ago, extending its decline after shedding 1.3% in October, and slightly beating estimates for a 1.4% contraction in a Reuters poll.
(CFD Symbol: US30)
Dow Jones Index
Trend:
Recommendation:
Last: 33,778
Target price:
Protective stop:
Outlook
The price correction has brought price lower to the 20EMA support. It is currently holding at this support, and we are likely to see a short-term price rebound to retest its recent price high at 34,660.Stochastic is falling but MACD remains bullish.
Trading Idea
Sell 34,100 with a stop above 34,600 for 33,200.
DAX Index
(CFD Symbol: GER40)
Trend:
Recommendation:
Last: 14,306
Target price:
Protective stop:
Outlook
Price managed to stay above the 20EMA support, coinciding with its previous low support level. A Doji candlestick pattern was formed yesterday. We are likely to see price rebounding from the 20EMA support to retest its high at 14,600. Stochastic is falling but MACD is bullish.
Trading Idea.
Buy at 14,250 for 14,600 with a stop below 14,000.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend:
Recommendation:
Last: 11,657
Target price:
Protective stop:
Outlook
This index is currently moving within a sideways consolidation zone that range between 11,410 and 12,120. Price rebounded from the lower boundary of the consolidation zone and we are likely to see price moving higher to its upper boundary. Stochastic is about to turn soon and MACD remains bullish.
Trading Idea
Wait for better trading idea
S&P 500 Index
(CFD Symbol: US500)
Trend:
Recommendation:
Last: 3968
Target price:
Protective stop:
Outlook
Price managed to stay above the resistance-turned-support level during this price correction. We think the correction could have ended and price could move higher to test its price high at 4100 again. Stochastic is near to the oversold zone and MACD remains bullish.
Trading Idea
Wait for better trading idea.
