. Daily Index Analysis - Global indices rally, US inflation resilient.

Daily Index Analysis – Global indices rally, US inflation resilient.

Daily Index Analysis – Global indices rally, US inflation resilient.

01 Apr 2024

Introduction:

In the dynamic realm of global indices, Asian markets surged on Monday despite minimal impact from US inflation data, maintaining expectations of potential Federal Reserve interest rate adjustments. Notable movements include gains in Shanghai’s composite index and Australia’s S&P/ASX 200, while European markets closed the first quarter with significant growth. Meanwhile, US stock futures indicate a positive start to the second quarter amid Wall Street’s cautious assessment of inflation data.

Market In Focus for today – Dow Jones

Dow futures kick off the second quarter with gains, reflecting optimism in the market’s sentiment.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 40163.85 | Positive Crossover | Bullish
  • MA 20: 40045.89 | Positive Crossover | Bullish
  • MA 50: 39721.03 | Positive Crossover | Bullish

Simple:

  • MA 5: 40175.65 | Positive Crossover | Bullish
  • MA 20: 40009.20| Positive Crossover | Bullish
  • MA 50: 39647.03 | Positive Crossover | Bullish

RSI (Relative Strength Index): 71.08| Buying Zone| Buy

Stochastic Oscillator: 87.53| 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 marked its strongest year opening since 2019, boasting a remarkable 10% quarterly surge. Early Monday, futures showed gains, albeit trading is expected to be lighter due to an extended Easter holiday, resulting in many international markets being closed.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5309.95 | Positive Crossover | Bullish
  • MA 20: 5296.70 | Positive Crossover | Bullish
  • MA 50: 5248.50 | Positive Crossover | Bullish

Simple:

  • MA 5: 5309.41 | Positive Crossover | Bullish
  • MA 20: 5297.66| Positive Crossover | Bullish
  • MA 50: 5243.39 | Positive Crossover | Bullish

RSI (Relative Strength Index): 71.91| Bullish Zone| Positive

Stochastic Oscillator: 90.18| Buy Zone | Positive

Resistance And Support Levels:

  • R1: 5332.94 | R2: 5398.60
  • S1: 5221.25| S2: 5110.14

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion:  Limit Buy: 5227.28 | Take Profit: 5332.10| Stop Loss: 5163.54.

Elsewhere in the Indices Market:

Asian stocks climbed on Monday, with US inflation data having minimal impact on expectations of potential interest rate cuts by the Federal Reserve in the coming year.

The Shanghai composite is up at 1.19%. Overall, the Singapore MSCI is down 0.37% to 291.12. Over in Hong Kong, the Hang Seng Index up 0.91% to 16,541.42. In Japan, the Nikkei 225 was down 1.40% to 39,803.09, while the Topix index was down 1.71% to 2721.22. South Korea’s Kospi up 0.04% to 2,747.48. Australia S&P/ASX 200 is up 0.99% to, 7,896.90.

European markets closed in the first quarter of 2024 at around 6.8%. Market activities are currently halted due to the observance of Easter Monday.

The DAX futures contract in Germany traded 0.08 higher, CAC 40 futures in France up 0.01% to 8,205.08 and the UK 100 futures contract in the U.K. up 0.26% to 7,952.62.

U.S. Stock futures rise to start the second quarter.

On Monday, stock futures saw a slight increase as Wall Street commenced the second quarter, building on a robust beginning to the year, while traders assessed the latest U.S. inflation figures.

Indexes: Dow up 0.3%, S&P 500- up 0.3%, Nasdaq up 0.3%.

Corporate News:

Netflix, Inc. (NFLX) is down 1.01% at 607.33, Tesla, Inc. (TSLA) is down 2.25% at 175.79, and Apple Inc. (AAPL) is down 1.06% at 171.48. Goldman Sachs Group Inc (GS) is up 0.59% at 417.69, and Morgan Stanley (MS) is up 0.71% at 94.16.

Key Economic Events & Data Release Today:

(USD) Manufacturing PMI (Mar) Forecast 52.8, Previous 52.2 at 19:15.

(USD) ISM Manufacturing PMI (Mar) Forecast –48.5, Previous –52.2 at 19:30.