Market News
- S&P 500 and Dow Jones both surged to record closing highs on Thursday, powered by investors piling into growth and technology stocks the day after artificial intelligence poster child Nvidia’s bumper earnings and outlook.
- Investors eagerly bought stocks as Nvidia shares jumped 16.4% after the chip designer forecast a roughly three-fold surge in first-quarter revenue on strong demand for its AI chips and beat expectations for fourth-quarter revenue.
- Chinese stocks moved in a flat-to-low range on Friday, but were headed for a second straight week of gains, after the government rolled out a slew of supportive measures for the economy and stock market.
Market Views
- Asian stocks were mixed on Friday and were set for a positive week as optimism over artificial intelligence drove stellar gains in the technology sector, while Chinese stocks extended a rebound into a second week. Hang Seng index fell 10 points while Nikkei 225 index surged 836 points.
- Sentiment towards China was bolstered by signs of improved consumer spending during the Lunar New Year holiday, while the government also doled out more supportive measures by cutting interest rates and restricting block share sales.
Dow Jones Index
(CFD Symbol: US30)
Trend:
Recommendation:
Last: 39,102
Target price:
Protective stop:
Outlook
Price is currently testing the downtrend line resistance after breaking out from its previous price high resistance zone. The 20EMA is rising, hinting at the uptrend. MACD is strong and bullish. We are likely to see price continuing its upward momentum.
Trading Idea
Buy 38,800 for 39,000 with a stop below 38,170
Hang Seng Index
(CFD Symbol: HK50)
Trend:
Recommendation: Long @ 16,450
Last: 16,708
Target price: 17,100
Protective stop: 16,530
Outlook
Price broke and closed above the triangle pattern that formed since Jan 2024. The 20EMA is rising, showing the current uptrend. MACD remains bullish and Stochastic is rising. We are likely to see price continue its upward movement.
Trading Idea
Buy 16,450 for 17,100 with a stop below 15,990. Entry was filled on 21 Feb. Shift stop higher to 16,530 to break even.
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend:
Recommendation: Long @ 17,430
Last: 18,000
Target price: 17,710
Protective stop: 17,350 triggered
Outlook
Price broke and closed above its recent price high resistance zone after rebounding strongly from 17,310. The 20EMA is rising, showing the current uptrend. MACD remains bullish and Stochastic is rising. We could see price continuing to move higher.
Trading Idea
Buy 17,430 for 17,710 with a stop below 17,350. Entry and stop were filled on 21 Feb
DAX Index
(CFD Symbol: GER40)
Trend:
Recommendation:
Last: 17,413
Target price:
Protective stop:
Outlook
Price rebounded from its resistance-turned-support zone strongly, coinciding with the 20EMA support. MACD is strong and bullish and Stochastic is at its overbought zone. We are likely to see price continuing its upward momentum.
Trading Idea
Wait for better trading idea
