Market News
- U.S. three major indexes suffered their deepest declines so far this month as a downbeat UPS forecast exacerbated investor concerns about a slowing U.S. economy on Tuesday while plunging deposits at regional First Republic Bank added to jitters about the bank sector’s health.
- Microsoft Corp’s share rebounded after closing down 2.2% in the regular session and was the biggest drag on the S&P 500 ahead of its quarterly report. It reversed course to rise 4.6% in late trading after its revenue beat analysts’ expectations.
- Australia’s inflation for the first quarter of 2023 slowed to 7% year-on-year, down from a 23-year high of 7.8% in the quarter ended December 2022. This also marked the end of a streak of five straight increases in the consumer price index since the quarter ended September 2021.
Market Views
- Asia-Pacific markets were mixed on Wednesday morning despite the overnight Wall Street’s sink as weak earnings fan fears of economic slowdown and banking fears were reignited. Hang Seng index was up 122 points while Nikkei 225 index dropped 190 points.
- Oil prices rose in early Asian trade on Wednesday after a U.S. trade group reported a significant draw in crude oil stocks ahead of the government’s data release.
Dow Jones Index
(CFD Symbol: US30)
Trend:
Recommendation:
Last: 33,571
Target price:
Protective stop:
Outlook
This index is in a price correction after forming a Doji candlestick pattern on 18 April. The index is currently testing the 20EMA and if this support is violated, we see price moving lower to 32,740. Stochastic is falling. MACD is moving lower after a bearish crossover.
Trading Idea
Wait for better trading idea
Hang Seng Index
(CFD Symbol: HK50)
Trend:
Recommendation:
Last: 19,741
Target price:
Protective stop:
Outlook
This index rebounded after being supported by the Fibonacci 62% correction point. It is likely to test the first 20EMA resistance point at 20,100. Next resistance lies at the strong resistance zone at 20,845. Stochastic is at the oversold zone but MACD remains bearish.
Trading Idea.
Wait for better trading idea.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend:
Recommendation: Short @ 13,150
Last: 12,881
Target price: 12,650
Protective stop: 13,150
Outlook
Price violated the 20EMA support level last night with a bearish candle. The 20EMA has turned bearish, hinting at potential downside ahead. Stochastic is falling and we are likely to see price moving lower after being resisted by the 20EMA.
Trading Idea
Sell 13,150 for 12,650 with a stop above 13,300. Lower stop to 13,150 on 26 April.
FTSE 100 Index
(CFD Symbol: UK100)
Trend:
Recommendation:
Last: 7857
Target price:
Protective stop:
Outlook
This index is in a price correction after forming a Doji candlestick pattern. It is going to test the 20EMA support at 7810. A violation of the 20EMA hints for further downside at 7643. Stochastic is at the overbought zone but MACD remains bullish.
Trading Idea
Wait for better trading idea.
