. Daily Index Analysis - Global Markets Await Fed Decision and CPI Data.

Daily Index Analysis – Global Markets Await Fed Decision and CPI Data.

Daily Index Analysis – Global Markets Await Fed Decision and CPI Data.

12 Jun 2024

Introduction:

Asian stocks are on a downward trend as concerns over interest rates intensify before the release of CPI data and the Fed’s decision. Meanwhile, European stocks are rebounding as anticipation builds for US inflation data. In the US, stock futures are inching higher in anticipation of the Fed’s rate decision and CPI data.

Market In Focus for today – Nasdaq 100

The NASDAQ 100 remains in a consolidation phase leading up to the FOMC meeting.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 19132.18 | Positive Crossover | Positive
  • MA 20: 19037.30 | Positive Crossover | Positive
  • MA 50: 18862.68 | Positive Crossover | Positive

Simple:

  • MA 5: 19110.05 | Positive Crossover | Positive
  • MA 20: 19020.96| Positive Crossover | Positive
  • MA 50: 18872.23 | Positive Crossover | Positive

RSI (Relative Strength Index): 69.19| Buy Zone| Bullish


Stochastic Oscillator: 97.25| Buy Zone | Neutral

Resistance And Support Levels:

  • R1: 19275.32 | R2: 19654.55
  • S1: 18973.08| S2: 18557.46


Overall Sentiment: Bullish | Market Direction: Buy


Trade Suggestion: Limit Buy: 18762.84 | Take Profit: 19244.57| Stop Loss: 18475.18.

S&P 500:

The S&P 500, hitting a record high, anticipates significant data ahead.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5368.16 | Positive Crossover | Bullish
  • MA 20: 5352.37 | Positive Crossover | Bullish
  • MA 50: 5324.44 | Positive Crossover | Bullish

Simple:

  • MA 5: 5364.12 | Positive Crossover | Bullish
  • MA 20: 5349.97| Positive Crossover | Bullish
  • MA 50: 5323.00 | Positive Crossover | Bullish

RSI (Relative Strength Index): 64.65|Buy Zone | Positive


Stochastic Oscillator: 97.1 | Buy Zone | Positive

Resistance And Support Levels:

  • R1: 5393.97 | R2: 5475.70
  • S1: 5307.10| S2: 5211.30


Overall Sentiment: Bullish| Market Direction: Buy


Trade Suggestion: Buy Limit : 5307.01 | Take Profit: 5384.82| Stop Loss: 5269.01.

FTSE 100:

The FTSE 100 rallies as GDP remains stagnant.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 8206.65 | Positive Crossover | Bullish
  • MA 20: 8231.45 | Negative Crossover | Bearish
  • MA 50: 8262.02 | Negative Crossover | Bearish

Simple:

  • MA 5: 8205.56 | Positive Crossover | Bullish
  • MA 20: 8241.43| Negative Crossover | Bearish
  • MA 50: 8285.52 | Negative Crossover | Bearish

RSI (Relative Strength Index): 45.00| Neutral Zone| Neutral


Stochastic Oscillator: 32.29| Sell Zone | Positive

Resistance And Support Levels:

  • R1: 8310.4 | R2: 8448.0
  • S1: 8127.6| S2: 7987.0


Overall Sentiment: Bearish | Market Direction: Sell


Trade Suggestion: Sell Limit : 8243.5 | Take Profit: 8061.3| Stop Loss: 8369.9.

Euro Stoxx 50:

European stock markets saw a modest rebound, while leading Asian indices closed with mixed results on Wednesday. Attention shifted towards the forthcoming US inflation data and the Federal Reserve’s interest-rate decision.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5003.17 | Negative Crossover | Bearish
  • MA 20: 5011.14 | Negative Crossover | Bearish
  • MA 50: 5018.77 | Negative Crossover | Bearish

Simple:

  • MA 5: 5006.04 | Negative Crossover | Bearish
  • MA 20: 5018.35| Negative Crossover | Bearish
  • MA 50: 5018.82 | Negative Crossover | Bearish

RSI (Relative Strength Index): 46| Neutral Zone| Neutral


Stochastic Oscillator: 30.28| Sell Zone | Neutral

Resistance And Support Levels:

  • R1: 5064 | R2: 5138
  • S1: 4945| S2: 4868


Overall Sentiment: Neutral | Market Direction: Sell


Trade Suggestion: Sell Limit : 5030 | Take Profit: 4940| Stop Loss: 5095.


Elsewhere in the Indices Market:

Asian stocks tumble as rate concerns intensify ahead of CPI data and Fed decision.

The Shanghai composite is up at 0.31%. Overall, the Singapore MSCI up 0.36% to 310.12. Over in Hong Kong, the Hang Seng Index down 1.31% to 17,937.84. In Japan, the Nikkei 225 down 0.66% to 38,876.71, while the Topix index was down 0.73% to 2756.44. South Korea’s Kospi up 0.84% to 2,728.17. Australia S&P/ASX 200 down 0.51% to, 7,715.50.

European stocks bounce back ahead of US inflation data.

The DAX futures contract in Germany traded 0.36 higher, CAC 40 futures in France up 0.36% to 7,817.43 and the UK 100 futures contract in the U.K. up 0.60% to 8,196.76.

US stock futures inch higher ahead of Fed rate decision and CPI data.

U.S. stock index futures inched higher Wednesday, maintaining a positive outlook ahead of the upcoming Federal Reserve policy meeting and key inflation data.

Indexes: Dow up 0.06%, S&P 500- up 0.27%, Nasdaq up 0.88%.

Corporate News:

Netflix, Inc. (NFLX) up 0.63% at 648.55, Tesla, Inc (TSLA) down 1.80% at 170.66, Apple Inc. (AAPL) up 7.26% at 207.15. Goldman Sachs Group Inc (GS) down 2.05% at 444.27, Morgan Stanley (MS) down 1.00% at 95.43.



Key Economic Events & Data Release Today:

(GBP) Average Earning Index + Bonus (Apr) Forecast 5.7%, Previous –5.7% at 02:00.

(CAD) Building Permits (MoM) (Apr) Forecast 4.9% Previous –11.7% at 08:30.

(CNY) CPI (MoM) (May) Previous 0.1% at 21:30.

(CNY) PPI (YoY) (May) Forecast –1.5%, Previous –2.5% at 21:30.