- U.S. stocks ended slightly lower on Tuesday as investors weighed comments from a top U.S. regulator on struggling banks and sold shares of technology-related names after their recent strong run. He told a Senate panel that Silicon Valley Bank did a “terrible” job of managing risk before its collapse.
- With the quarter end approaching, investors are looking forward to upcoming bank results, which may give them more details about the health of the sector following the collapse of Silicon Valley and Signature Bank.
- Australia’s monthly inflation pace for February came in at a slower pace at 6.8% compared to the same period a year ago. This is lower than January’s figure of 7.4%, and also lower than the 7.1% economists expected.
- Asian markets were higher on Wednesday morning as Alibaba’s Hong Kong-listed shares spiked at the open after the Chinese tech giant announced it will split into six business groups. Hang Seng index jumped 378 points and Nikkei 225 index rose 151 points.
- The latest overhaul in business announced by technology giant Alibaba is seen as a move by the Chinese government to further support its private sector, Kingston Securities Executive Director Dickie Wong said.
Dow Jones Index
(CFD Symbol: US30)
Recommendation: Short @ 32,500
Target price: 31,600
Protective stop: 32,600
This index rebounded after being supported by the Fibonacci 62% correction point. It is testing the 20EMA and once it stay firm above the 20EMA, we could see price penetrating its resistance zone to move higher. Stochastic is rising and MACD is moving higher.
Sell 32,500 with a stop above 32,800 for 31,600. Entry order was filled on 21 Mar. Lower stop to 32,600 on 24 Mar.
Hang Seng Index
(CFD Symbol: HK50)
This index could have formed a potential Doji candlestick pattern. A bearish candle has to be followed to confirm the reversal hint at a potential correction ahead. Stochastic is near to the overbought zone and MACD has turned bullish
Buy 19,600 for 20,500 with a stop below 18,950.
Nasdaq 100 Index
(CFD Symbol: USTec)
Price was capped by its previous price high resistance on four occasions. It is likely to retest its resistance zone if it stays above the 20EMA. Stochastic is strong and bullish. MACD remains bullish as well.
Sell 12,850 with a stop above 13,010 for 12,400.
FTSE 100 Index
(CFD Symbol: UK100)
This index could be moving in a triangle pattern. We think it is going to test the 20EMA resistance zone, which is also the Fibonacci 38% correction point. Stochastic is rising. MACD remains bearish.
Wait for better trading idea.