. Daily Index Analysis - Dow Jones Dips 0.98%: Investor Concerns Rise.

Daily Index Analysis – Dow Jones Dips 0.98%: Investor Concerns Rise.

Daily Index Analysis – Dow Jones Dips 0.98%: Investor Concerns Rise.

19 Oct 2023

Introduction:

Asian markets are facing a bearish trend with mixed signals from Wall Street influencing the region’s performance. The Shanghai Composite is down, while other key indices in Singapore, Hong Kong, Japan, South Korea, and Australia are all experiencing notable declines. Meanwhile, European shares are also in decline, largely due to disappointing earnings reports contributing to a risk-off sentiment. On the other side of the Atlantic, Wall Street experienced a decline of more than 1%, with rising Treasury yields and investors closely scrutinizing quarterly earnings reports, resulting in substantial losses for the S&P 500 and Nasdaq.

Market In Focus for today – Dow Jones

The Dow Jones Industrial Average fell 332.57 points, or 0.98%, to 33,665.08.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 33869.8 | Negative Crossover | Bearish
  • MA 20: 33904.5 | Negative Crossover | Bearish
  • MA 50: 33924.5 | Negative Crossover | Bearish

Simple:

  • MA 5: 33907.1 | Negative Crossover | Bearish
  • MA 20: 33965.2| Negative Crossover | Bearish
  • MA 50: 33747.2 | Positive Crossover | Bullish

RSI (Relative Strength Index): 44.32 | Neutral Zone| Neutral

Stochastic Oscillator: 22.97 | Sell Zone | Negative

Resistance And Support Levels:

  • R1: 34095.43 | R2: 34617.69
  • S1: 33750.96| S2: 33273.15

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion: Stop Sell : 33606.51 | Take Profit: 33273.15 | Stop Loss: 33828.75.

Elsewhere in the Indices Market

Asian market trade lower following Mixed Cues from Wall St.

The Shanghai composite is down at 1.74%. Overall, the Singapore MSCI down 1.62% to 276.90. Over in Hong Kong, the Hang Seng Index down 2.46% to 17,295.89. In Japan, the Nikkei 225 down 1.91% to 31,430.62, while the Topix index was down 1.36% to 2,264.16. South Korea’s Kospi down 1.90% to 2,415.80. Australia S&P/ASX 200 down 1.36% to, 6,981.60.

European shares decline as dismal earnings add to risk-off mood.

The DAX futures contract in Germany traded 0.02 lower, CAC 40 futures in France down 0.46% to 6,934.14 and the UK 100 futures contract in the U.K. down 0.69% to 7,535.60.

Wall St decline more than 1%; yields rise, investors assess earnings.

Treasury yields continued to rise as investors evaluated the most recent set of quarterly company reports and projections, causing U.S. stocks to close substantially lower on Wednesday. The S&P 500 and Nasdaq fell more than 1% each.

Indexes: Dow down 1%, S&P 500- down 1.3%, Nasdaq down 1.6%.

Corporate News:

Netflix Inc (NFLX) down 2.68% at 346.19, Tesla Inc. (TSLA) down 4.78% at 242.68, Walmart Inc. (WMT) up 0.93% at 161.54. Goldman Sachs Group Inc (GS) down 2.39% at 301.96, Morgan Stanley (MS) down 6.78% at 74.88.

Key Economic Events & Data Release Today:

(AUD) Employment Change (Sep) Actual 6.7K, Forecast 20.0K, Previous 64.9K at 06:00.

(USD) Initial Jobless Claims Forecast 212K, Previous 209K at 18:00.

(USD) Philadelphia Fed Manufacturing Index (Oct) Forecast –6.4, Previous –13.5 at 18:00.

(USD) Existing Home Sales (Sep) Forecast 3.89M, Previous 4.04M at 19:30.

(USD) Fed Chair Powell Speaks at 21:30.