Market News
U.S. stocks ended lower on Tuesday after mixed earnings from Morgan Stanley tumbled 4.2% to a more than one-month low after it posted a lower quarterly profit, while Goldman Sachs’ stock ended 0.7% higher after it reported a 51% rise in profit.
Fed Governor Christopher Waller dampened sentiment by saying there should be no rush to cut interest rates even though he was more confident of inflation being on track to meet the Fed’s 2% target. Traders pared expectations that the Fed might begin its rate cuts in March, with U.S. Treasury yields also rising.
Oil prices fell Tuesday as the U.S dollar grew stronger after a Federal Reserve official indicated the central bank may not cut rates as aggressively as the market expects.
Market Views
Asian stocks were mixed on Wednesday as Fed officials downplayed expectations for early interest rate cuts, while economic growth figures from China largely underwhelmed markets. Hang Seng index slumped 477 points while Nikkei 225 index rose 26 points.
Flows into Japanese stocks were driven chiefly by expectations that the Bank of Japan will maintain its ultra-dovish stance in the near-term, which makes it an outlier among its global peers in keeping monetary conditions loose.
Dow Jones Index(CFD Symbol: US30)
Trend:
Recommendation:
Last: 37,289
Target price:
Protective stop:
OutlookPrice rebounded from its previous low support zone with a doji candlestick pattern. It has to penetrate 37,365 for more upside, else, we will see price moving lower again. MACD remain bearish and Stochastic is moving lower too.
Trading IdeaWait for better trading idea
Hang Seng Index(CFD Symbol: HK50)
Trend:
Recommendation:
Last: 15,361
Target price:
Protective stop:
OutlookPrice further violated its previous low support zone yesterday. The 20EMA is moving lower, suggesting more downside ahead. MACD is bearish and Stochastic is near to the oversold zone.
Trading IdeaSell 15,980 for 15,380 with a stop above 16,250
Nasdaq 100 Index(CFD Symbol: USTec)
Trend:
Recommendation:
Last: 16,760
Target price:
Protective stop:
OutlookPrice was capped by its previous price high resistance zone. We are likely to see more downside ahead to 16,600. MACD has turned bearish with both of its lines below the zero line. Stochastic is moving lower too.
Trading IdeaWait for better trading idea
DAX Index(CFD Symbol: GER40)Trend:
Recommendation:
Last: 16,434
Target price:
Protective stop:
OutlookPrice was capped by its previous price high resistance zone. The 20EMA is falling, suggesting more downside ahead. MACD is bearish and is moving lower. Stochastic is heading lower too.
Trading IdeaSell 16,560 for 16,320 with a stop above 16,630
