. Daily Index Analysis - Dow, S&P 500, FTSE 100, and DAX Surge

Daily Index Analysis – Dow, S&P 500, FTSE 100, and DAX Surge.

Daily Index Analysis – Dow, S&P 500, FTSE 100, and DAX Surge.

07 May 2024

Introduction:

Across global indices, Asian equities surge in response to optimism spurred by U.S. rate expectations. While some markets display upward trends, others face minor dips. In Europe, stocks begin Tuesday with gains amid speculation of future interest rate reductions. Meanwhile, U.S. stock futures show minimal movement, hinting at a subdued opening following a previous rally driven by anticipation of Federal Reserve rate adjustments.

Market In Focus for today – Dow Jones

Dow climbs more than 170 points, marking its fourth consecutive day of gains, driven by optimism surrounding potential rate cuts.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 38836.25 | Positive Crossover | Bullish
  • MA 20: 38677.65 | Positive Crossover | Bullish
  • MA 50: 38604.88 | Positive Crossover | Bullish

Simple:

  • MA 5: 38867.75 | Positive Crossover | Bullish
  • MA 20: 38857.55| Positive Crossover | Bullish
  • MA 50: 38392.22 | Positive Crossover | Bullish

RSI (Relative Strength Index): 66.75| Bullish Zone| Positive


Stochastic Oscillator: 100.00| Buying Zone | Neutral

Resistance And Support Levels:

  • R1: 39337.55 | R2: 39740.90
  • S1: 38782.95| S2: 38208.19


Overall Sentiment: Bullish | Market Direction: Buy


Trade Suggestion: Buy Limit: 38914.04 | Take Profit: 39337.55| Stop Loss: 38661.95.

S&P 500:

The S&P 500 records its most impressive three-day streak of 2024.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5168.01 | Positive Crossover | Bullish
  • MA 20: 5142.98 | Positive Crossover | Bullish
  • MA 50: 5132.77 | Positive Crossover | Bullish

Simple:

  • MA 5: 5163.43 | Positive Crossover | Bullish
  • MA 20: 5128.46| Positive Crossover | Bullish
  • MA 50: 5098.55 | Positive Crossover | Bullish

RSI (Relative Strength Index): 68.29 | Bullish Zone| Positive


Stochastic Oscillator: 100.00| Buy Zone | Neutral

Resistance And Support Levels:

  • R1: 5242.66 | R2: 5332.77
  • S1: 5126.18| S2: 5033.88


Overall Sentiment: Bullish | Market Direction: Buy


Trade Suggestion:  Buy Limit : 5170.05 | Take Profit: 5261.17| Stop Loss: 5108.22.

FTSE 100:

Across the London market, there’s continued interest in blue-chip stocks as the FTSE 100 index surpassed the 8300 level today, marking a significant milestone.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 8238.40 | Positive Crossover | Bullish
  • MA 20: 8190.72 | Positive Crossover | Bullish
  • MA 50: 8096.83 | Positive Crossover | Bullish

Simple:

  • MA 5: 8216.45 | Positive Crossover | Bullish
  • MA 20: 8192.09| Positive Crossover | Bullish
  • MA 50: 8060.30 | Positive Crossover | Bullish

RSI (Relative Strength Index): 73.53| Buy Zone| Bullish


Stochastic Oscillator: 100.00| Positive Zone | Positive

Resistance And Support Levels:

  • R1: 8342.9 | R2: 8459.3
  • S1: 8216.8| S2: 8106.8


Overall Sentiment: Bullish | Market Direction: Buy


Trade Suggestion:  Buy Limit : 8229.2 | Take Profit: 8330.5| Stop Loss: 8164.5.

DAX 40:

During the prior session, the DAX experienced a 0.96% surge. Investor focus will be on German trade data and factory orders today.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 18172.90 | Positive Crossover | Bullish
  • MA 20: 18124.01 | Positive Crossover | Bullish
  • MA 50: 18089.18 | Positive Crossover | Bullish

Simple:

  • MA 5: 18126.03 | Positive Crossover | Bullish
  • MA 20: 18116.64| Positive Crossover | Bullish
  • MA 50: 18021.62 | Positive Crossover | Bullish

RSI (Relative Strength Index): 63.67| Bullish Zone| Positive


Stochastic Oscillator: 100.00| Buy Zone | Positive

Resistance And Support Levels:

  • R1: 18472.8 | R2: 18630.5
  • S1: 18200.8| S2: 17958.1


Overall Sentiment: Bullish | Market Direction: Buy


Trade Suggestion:  Buy Limit : 18266.5 | Take Profit: 18478.8| Stop Loss: 18150.2.


Elsewhere in the Indices Market:


Asian equities Climb After US Gain on Rates Optimism.

The Shanghai composite is up at 0.22%. Overall, the Singapore MSCI down 0.60% to 303.57. Over in Hong Kong, the Hang Seng Index down 0.53% to 18,479.37. In Japan, the Nikkei 225 up 1.57% to 38,835.10, while the Topix index was up 0.65% to 2746.22. South Korea’s Kospi up 2.16% to 2,634.36. Australia S&P/ASX 200 up 1.44% to, 7,793.30.

European stock markets rose at the start of trading Tuesday as traders speculate about potential interest rate cuts in the upcoming months.

The DAX futures contract in Germany traded 0.57 higher, CAC 40 futures in France up 0.34% to 8,023.50 and the UK 100 futures contract in the U.K. up 1.01% to 8,296.05.

U.S. stock futures hovered close to the flatline, showing little movement.

On U.S. stock markets are poised for a subdued start on Tuesday, showing signs of calming down following a surge triggered by a jobs report that fell below expectations, reinforcing beliefs that the Federal Reserve may initiate interest rate cuts in the current year.

Indexes: Dow up 0.46%, S&P 500-up 1.03%, Nasdaq up 1.19%.


Corporate News:

Netflix, Inc. (NFLX) up 3.04% at 596.97, Tesla, Inc (TSLA) up 1.97% at 184.76, Apple Inc. (AAPL) down 0.91% at 181.71. Goldman Sachs Group Inc (GS) up 1.25% at 443.67, Morgan Stanley (MS) up 1.23% at 94.79.



Key Economic Events & Data Release Today:

(AUD) Retail Sales (MoM) Forecast –0.2%, Previous 0.2% at 07:00.

(AUD) RBA Interest Rate Decision (May) Forecast 4.35%, Previous 4.35% at 10:00.

(AUD) RBA Rate Statement at 11:00.

(GBP) Construction PMI (Apr) Forecast 50.4, Previous 50.2 at 14:00.

(EUR) Retail Sales (MoM) (Mar) Forecast 0.6%, Previous –0.5% at 14:30.

(CAD) Ivey PMI (Apr) Forecast 58.1, Previous 57.5 at 19:30.