. Daily Index Analysis - Dow hits highs, S&P surges, FTSE falters.

Daily Index Analysis – Dow hits highs, S&P surges, FTSE falters.

Daily Index Analysis – Dow hits highs, S&P surges, FTSE falters.

28 Mar 2024

Introduction:

In global indices, Asian stocks drift following the S&P 500’s record-setting session, while European markets anticipate gains before the Easter break. In Asia, mixed performances are noted, with the Shanghai composite up and Japan’s Nikkei down. Meanwhile, European stocks show advances as investors eye potential quarterly gains. In the U.S., stocks conclude with increases, led by the Dow, as investors await clues on interest rates.

Market In Focus for today – Dow Jones

U.S. stock indices concluded with gains, indicating investor anticipation of potential interest rate reductions by the Federal Reserve later this year. This momentum propelled the Dow Jones Industrial Average towards achieving its lengthiest streak of monthly gains in quite some time.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 39950.85 | Positive Crossover | Bullish
  • MA 20: 39831.89 | Positive Crossover | Bullish
  • MA 50: 39521.03 | Positive Crossover | Bullish

Simple:

  • MA 5: 39877.65 | Positive Crossover | Bullish
  • MA 20: 39923.10| Positive Crossover | Bullish
  • MA 50: 39392.33 | Positive Crossover | Bullish

RSI (Relative Strength Index): 68.34| Buying Zone| Buy

Stochastic Oscillator: 59.51| Buy Zone | Positive

Resistance And Support Levels:

  • R1: 40314.50 | R2: 40953.44
  • S1: 39647.17| S2: 38908.34

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion: Limit Buy: 39675.56 | Take Profit: 40271.90| Stop Loss: 39320.60.

S&P 500:

The S&P 500 surged to achieve a record high, marking its strongest performance in the first quarter since 2019.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5293.25 | Positive Crossover | Bullish
  • MA 20: 5277.65 | Positive Crossover | Bullish
  • MA 50: 5224.00 | Positive Crossover | Bullish

Simple:

  • MA 5: 5289.39 | Positive Crossover | Bullish
  • MA 20: 5288.48| Positive Crossover | Bullish
  • MA 50: 5215.86 | Positive Crossover | Bullish

RSI (Relative Strength Index): 65.66| Bullish Zone| Positive

Stochastic Oscillator: 52.99| Buy Zone | Positive

Resistance And Support Levels:

  • R1: 5321.54 | R2: 5398.60
  • S1: 5221.25| S2: 5110.14

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion:  Limit Buy: 5223.56 | Take Profit: 5310.68| Stop Loss: 5167.95.

FTSE 100:

The FTSE 100 declines amidst uncertainty surrounding US inflation data.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 7944.29 | Positive Crossover | Bullish
  • MA 20: 7905.52 | Positive Crossover | Bullish
  • MA 50: 7825.54 | Positive Crossover | Bullish

Simple:

  • MA 5: 7944.74 | Positive Crossover | Bullish
  • MA 20: 7902.85| Positive Crossover | Bullish
  • MA 50: 7797.13| Positive Crossover | Bullish

RSI (Relative Strength Index): 67.82| Buy Zone| Positive

Stochastic Oscillator: 39.63| Sell Zone | Positive

Resistance And Support Levels:

  • R1: 7987.4 | R2: 8057.8
  • S1: 7879.8| S2: 7786.7

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion: Limit Buy: 7844.6 | Take Profit: 7964.7| Stop Loss: 7765.9.

DAX 40:

The DAX 40 is poised for its fourth consecutive day of gains, surging towards record highs and edging closer to the minor psychological threshold of 18,500.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 18469.39 | Positive Crossover | Bullish
  • MA 20: 18353.42 | Positive Crossover | Bullish
  • MA 50: 18108.21| Positive Crossover | Bullish

Simple:

  • MA 5: 18458.42| Positive Crossover | Bullish
  • MA 20: 18372.79| Positive Crossover | Bullish
  • MA 50: 18078.01| Positive Crossover | Bullish

RSI (Relative Strength Index): 73.01| Buy Zone| Bullish

Stochastic Oscillator: 88.76|Buying Zone | Positive

Resistance And Support Levels:

  • R1: 18062.7 | R2: 18923.2
  • S1: 18147.9 | S2: 17723.0

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion:  Limit Buy: 18215.0 | Take Profit: 18602.7 | Stop Loss: 17991.4.

Elsewhere in the Indices Market:

Asian stocks drift following another record-setting session for the S&P 500.

The Shanghai composite is up at 0.59%. Overall, the Singapore MSCI is down 1.92% to 290.85. Over in Hong Kong, the Hang Seng Index up 0.91% to 16,541.42. In Japan, the Nikkei 225 was down 1.46% to 40,168.07, while the Topix index was down 1.73% to 2750.81. South Korea’s Kospi down 0.03% to 2,745.82. Australia S&P/ASX 200 is up 0.99% to, 7,896.90.

European stocks advance of Easter break, eye quarterly gains.

The DAX futures contract in Germany traded 0.13 higher, CAC 40 futures in France up 0.56% to 8,251.08, and the UK 100 futures contract in the U.K. up 0.34% to 7,959.28.

Stocks close with gains, with the Dow leading, as investors seek clues on interest rates.

On Wednesday, U.S. stocks saw an uptick, with the Dow leading the charge and the S&P 500 reaching a new closing high, driven by pharmaceutical company Merck. Investors awaited the next inflation data and Federal Reserve remarks for insights into future interest rate movements.

Indexes: Dow up 1.2%, S&P 500- up 0.9%, Nasdaq up 0.5%.

Corporate News:

Netflix, Inc. (NFLX) is down 2.50% at 613.53, Tesla, Inc. (TSLA) is up 1.22% at 179.83, and Apple Inc. (AAPL) is up 2.12% at 173.71. Goldman Sachs Group Inc (GS) is up 2.23% at 415.25, and Morgan Stanley (MS) is up 2.43% at 93.50.

Key Economic Events & Data Release Today:

(AUD) Retail Sales (MoM) (Feb) Forecast 0.4%, Previous 1.1% at 06:00.

(GBP) GDP (QoQ) (Q4) Forecast –0.3%, Previous –0.1% at 12:30.

(GBP) GDP (YoY) (Q4) Forecast –0.2%, Previous 0.3% at 12:30.

(USD) GDP (QoQ) (Q4) Forecast 3.2%, Previous 4.9% at 18:00.

(CAD) GDP (MoM) (Jan) Forecast 0.4%, Previous 0.0% at 18:00.

(USD) Initial Jobless Claims Forecast 212K, Previous 210K at 18:00.

(USD) Pending Home Sales (MoM) (Feb) Forecast 1.4%, Previous –4.9% at 19:30