. Daily Index Analysis - Global indices volatile, tech stocks tumble.

Daily Index Analysis – Global indices volatile, tech stocks tumble.

Daily Index Analysis – Global indices volatile, tech stocks tumble.

06 Mar 2024

Introduction:

Asian markets display mixed results following Wall Street’s recent downturn. While the Shanghai Composite rises by 0.28%, Singapore’s MSCI climbs 1.93%, and Hong Kong’s Hang Seng Index gains 1.70%. In Europe, major stock markets stabilize amid diverse Asian performances. Meanwhile, U.S. stocks experience a notable decline, coinciding with record highs for both bitcoin and gold, prompting scrutiny from investors ahead of economic data releases and central bank actions.

Market In Focus for today – Nasdaq 100

Nasdaq Composite experiences a dip as technology stocks face downward pressure.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 18123.55 | Positive Crossover | Bullish
  • MA 20: 18101.93 | Positive Crossover | Bullish
  • MA 50: 17936.07 | Positive Crossover | Bullish

Simple:

  • MA 5: 18199.52 | Negative Crossover | Bearish
  • MA 20: 18101.35| Positive Crossover | Bullish
  • MA 50: 17935.07 | Positive Crossover | Bullish

RSI (Relative Strength Index): 54.63| Buy Zone| Buy

Stochastic Oscillator: 12.5| Sell Zone | Negative

Resistance And Support Levels:

  • R1: 18375.84 | R2: 18690.99
  • S1: 17848.87| S2: 17376.92

Overall Sentiment: Positive | Market Direction: Buy

Trade Suggestion: Limit Buy: 17932.16 | Take Profit: 18320.83| Stop Loss: 17691.55.

S&P 500:

S&P 500 sees a decline as the technology rally halts in anticipation of Powell’s testimony.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5120.90 | Negative Crossover | Bearish
  • MA 20: 5104.23 | Negative Crossover | Bearish
  • MA 50: 5059.70 | Positive Crossover | Bullish

Simple:

  • MA 5: 5124.32 | Negative Crossover | Bearish
  • MA 20: 5104.27| Negative Crossover | Bearish
  • MA 50: 5059.71 | Positive Crossover | Bullish

RSI (Relative Strength Index): 52.26| Bullish Zone| Positive

Stochastic Oscillator: 643| Negative Zone | Negative

Resistance And Support Levels:

  • R1: 5140.06 | R2: 5216.39
  • S1: 5048.89| S2: 4959.84

Overall Sentiment: Bullish| Market Direction: Buy

Trade Suggestion:  Limit Buy: 5058.81 | Take Profit: 5152.45| Stop Loss: 5006.28.

FTSE 100:

In the early trading session, the FTSE 100 remains stable as investors anticipate Jeremy Hunt’s Spring Budget.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 7664.84 | Positive Crossover | Bullish
  • MA 20: 7668.06 | Positive Crossover | Bullish
  • MA 50: 7664.94 | Positive Crossover | Bullish

Simple:

  • MA 5: 7665.83 | Positive Crossover | Bullish
  • MA 20: 7670.90| Positive Crossover | Bullish
  • MA 50: 7661.35| Positive Crossover | Bullish

RSI (Relative Strength Index): 54.10| Buying Zone| Buy

Stochastic Oscillator: 73.99| Buy Zone | Positive

Resistance And Support Levels:

  • R1: 7704.4 | R2: 7791.8
  • S1: 7604.1| S2: 7500.0

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion: Limit Sell: 7696.4 | Take Profit: 7766.5| Stop Loss: 7655.7.

EURO STOXX 50:

European stocks climb in anticipation of crucial economic data and Fed Chair Powell’s testimony.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 4904.06 | Positive Crossover | Bullish
  • MA 20: 4893.01 | Positive Crossover | Bullish
  • MA 50: 4838.79| Positive Crossover | Bullish

Simple:

  • MA 5: 4906.06| Positive Crossover | Bullish
  • MA 20: 4899.06| Positive Crossover | Bullish
  • MA 50: 4833.18| Positive Crossover | Bullish

RSI (Relative Strength Index): 61.46| Buy Zone| Bullish

Stochastic Oscillator: 17.91|Sell Zone | Neutral

Resistance And Support Levels:

  • R1: 4930 | R2: 4984
  • S1: 4790| S2: 4660

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion:  Limit Buy: 4886 | Take Profit: 4930| Stop Loss: 4861.

Elsewhere in the Indices Market:

Asian stocks show a varied performance following the worst day in weeks for Wall Street.

The Shanghai composite is up at 0.28%. Overall, the Singapore MSCI is up 1.93% to 286.62. Over in Hong Kong, the Hang Seng Index up 1.70% to 16,438.09. In Japan, the Nikkei 225 was down 0.02% to 40,090.78, while the Topix index was up 0.39% to 2730.67. South Korea’s Kospi down 0.30% to 2,649.40. Australia S&P/ASX 200 is up 0.12% to, 7,733.50.

Europe’s main stock markets steadied at the start of trading on Wednesday influenced by the varied performance of major Asian indices.

The DAX futures contract in Germany traded 0.03 higher, CAC 40 futures in France up 0.03% to 7,934.92 and the UK 100 futures contract in the U.K. up 0.22% to 7,663.01%.

U.S. stocks decline as bitcoin and gold achieve historic highs.

Wall Street shares concluded significantly lower on Tuesday, with both bitcoin and gold reaching unprecedented highs. Investors closely monitored impending economic data releases and central bank initiatives.

Indexes: Dow down 1.04%, S&P 500- down 1.02%, Nasdaq down 1.65%.

Corporate News:

Netflix, Inc. (NFLX) is up 2.81% at 598.50, Tesla, Inc (TSLA) is down 3.93% at 180.74, and Apple Inc. (AAPL) is down 2.84% at 170.12. Goldman Sachs Group Inc (GS) is down 0.34% at 390.91, and Morgan Stanley (MS) is down 1.01% at 89.13.

Key Economic Events & Data Release Today:

(AUD) GDP (QoQ) (Q4) Forecast 0.2%, Previous 0.2% at 06:00.

(AUD) Retail Sales (MoM) Forecast 1.1%, Previous –2.1% at 06:00.

(USD) ADP Nonfarm Employment Change (Feb) Forecast 149K, Previous 107K at 18:45.

(CAD) BoC Interest Rate Decision Forecast 5.00%, Previous 5.00% at 20:15.

(USD) JOLTs Job Openings (Jan) Forecast 8.800M, Previous 9.026M at 20:30.

(CAD) BoC Press Conference at 21:00.