Market News
- Dow Jones notched a record high close on Thursday in mixed trading following robust U.S. economic data, while artificial intelligence chipmaker Nvidia dropped after its largely in-line forecast failed to impress investors.
- Gross domestic product data released on Thursday showed the U.S. economy grew more than initially estimated in the second quarter. Other data showed a slightly bigger than expected dip in jobless claims.
- Investor will focus on PCE price index data for July due today. The reading is expected to show a slight pick-up in inflation through the prior month, while inflation is also expected to remain largely above the Federal Reserve’s 2% annual target.
Market Views
- Asia-Pacific markets climbed on Friday morning after economic data from the U.S. calmed recessionary fears, while investors also assessed a slew of data from Japan. Hang Seng index rose 182 points and Nikkei 225 index advanced 222 points.
- Inflation rate in Japan’s capital city of Tokyo rose to 2.6% from June’s 2.2%, hitting its highest since March. The core inflation rate rose 2.4%, higher than the 2.2% expected from a Reuters poll of economists. Tokyo’s inflation is widely considered to be a leading indicator of nationwide trends.
Dow Jones Index
(CFD Symbol: US30)
Trend:
Recommendation:
Last: 41,357
Target price:
Protective stop:
Outlook
Price broke out its previous price high resistance zone last night. It retested this zone, coinciding with the rising 20EMA support. Stochastic is rising and MACD remains bullish. Price could rebound from this zone to move higher.
Trading Idea
Buy now 41,357 for 41,560 with a stop below 41,270
Hang Seng Index
(CFD Symbol: HK50)
Trend:
Recommendation:
Last: 18,037
Target price:
Protective stop:
Outlook
Price managed to rebound from the rising 20EMA support, keeping the uptrend intact. It further penetrated its recent price high. Stochastic and MACD remains strong and bullish. We could see price moving higher to its overhead resistance zone.
Trading Idea
Buy 17,300 for 18,310 with a stop below 17,840
Nasdaq 100 Index
(CFD Symbol: USTec)
Trend:
Recommendation:
Last: 19,398
Target price:
Protective stop:
Outlook
Price is currently moving within a range between 19,000 and 19,620. We have to wait for price to breakout either end for clearer direction. MACD remains bullish and Stochastic is rising.
Trading Idea
Wait for better trading idea
DAX Index
(CFD Symbol: GER40)
Trend:
Recommendation:
Last: 18,905
Target price:
Protective stop:
Outlook
Price has tested its all time price high resistance level yesterday. It has to further penetrate this level for more upside, else, we will see a price correction as price deviates far away from its 20EMA. Stochastic and MACD are strong and bullish.
Trading Idea
Wait for better trading idea
