. Daily Index Analysis - Global markets await US inflation data.

Daily Index Analysis – Global markets await US inflation data.

Daily Index Analysis – Global markets await US inflation data.

10 Apr 2024

Introduction:

In the global indices market, Asian markets display a mixed performance following a subdued day on Wall Street, as investors eagerly await updates on US inflation. While some indices like the Hang Seng Index in Hong Kong show gains, others like the Nikkei 225 in Japan experience declines. Meanwhile, European markets anticipate U.S. inflation data, with futures contracts pointing towards positive openings. In the U.S., stocks inch higher amidst anticipation for CPI data and the upcoming earnings season.

Market In Focus for today – Dow Jones

The Dow Jones Industrial Average maintains a bearish tone as it awaits the release of US inflation data.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 39245.04 | Negative Crossover | Bearish
  • MA 20: 39337.01 | Negative Crossover | Bearish
  • MA 50: 39463.98 | Negative Crossover | Bearish

Simple:

  • MA 5: 39321.95 | Positive Crossover | Bullish
  • MA 20: 39276.04| Negative Crossover | Bearish
  • MA 50: 39702.01 | Negative Crossover | Bearish

RSI (Relative Strength Index): 41.78| Sell Zone| Bearish

Stochastic Oscillator: 81.46| Buy Zone | Neutral

Resistance And Support Levels:

  • R1: 39462.29 | R2: 40249.61
  • S1: 38866.91| S2: 38260.04

Overall Sentiment: Neutral | Market Direction: Sell

Trade Suggestion: Sell Limit: 39419.74 | Take Profit: 38792.01| Stop Loss: 39824.02.

S&P 500:

The S&P 500 registered marginal increases on Tuesday, keeping a close watch on significant inflation data.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5259.44 | Positive Crossover | Bullish
  • MA 20: 5261.05 | Positive Crossover | Bullish
  • MA 50: 5252.99 | Positive Crossover | Bullish

Simple:

  • MA 5: 5259.38 | Positive Crossover | Bullish
  • MA 20: 5253.83| Positive Crossover | Bullish
  • MA 50: 5277.00 | Negative Crossover | Bearish

RSI (Relative Strength Index): 50.6| Buy Zone| Positive

Stochastic Oscillator: 73.19| Buy Zone | Neutral

Resistance And Support Levels:

  • R1: 5270.34 | R2: 5334.81
  • S1: 5148.77| S2: 5044.51

Overall Sentiment: Neutral | Market Direction: Sell

Trade Suggestion:  Sell Limit : 5254.02 | Take Profit: 5191.02| Stop Loss: 5300.90.

FTSE 100:

FTSE 100 eyeing 8,000 mark.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 7967.57 | Positive Crossover | Bullish
  • MA 20: 7952.90 | Positive Crossover | Bullish
  • MA 50: 7889.41 | Positive Crossover | Bullish

Simple:

  • MA 5: 7959.10 | Positive Crossover | Bullish
  • MA 20: 7952.98| Positive Crossover | Bullish
  • MA 50: 7896.43 | Positive Crossover | Bullish

RSI (Relative Strength Index): 62.06| Bullish Zone| Positive

Stochastic Oscillator: 78.85| Buy Zone | Bullish

Resistance And Support Levels:

  • R1: 8038.5 | R2: 8106.2
  • S1: 7916.5| S2: 7808.1

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion:  Buy Limit : 7976.0 | Take Profit: 8029.0| Stop Loss: 7948.9.

Euro Stoxx 50:

Early Wednesday, European investors displayed a more optimistic sentiment compared to their counterparts in the United States, as stocks were poised to recover from the losses experienced yesterday.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5044.08 | Positive Crossover | Bullish
  • MA 20: 5051.06 | Negative Crossover | Bearish
  • MA 50: 5037.32 | Positive Crossover | Bullish

Simple:

  • MA 5: 5040.02 | Negative Crossover | Bearish
  • MA 20: 5056.01 | Negative Crossover | Bearish
  • MA 50: 5053.26 | Positive Crossover | Bullish

RSI (Relative Strength Index): 48.02| Buy Zone| Neutral

Stochastic Oscillator: 33.37| Buy Zone | Neutral

Resistance And Support Levels:

  • R1: 5065 | R2: 5140
  • S1: 5001| S2: 4035

Overall Sentiment: Neutral | Market Direction: Sell

Trade Suggestion:  Sell Limit : 5071 | Take Profit: 5001| Stop Loss: 5116.

Elsewhere in the Indices Market:

Asian markets show a mixed performance following a sluggish day on Wall Street, with investors awaiting updates on US inflation.

The Shanghai composite is down at 0.70%. Overall, the Singapore MSCI up 0.55% to 295.88. Over in Hong Kong, the Hang Seng Index up 1.85% to 17,139.17. In Japan, the Nikkei 225 down 0.48% to 39,581.81, while the Topix index was down 0.43% to 2742.79. South Korea’s Kospi down 0.46% to 2,705.16. Australia S&P/ASX 200 up 0.31% to, 7,848.50.

European markets are in the green as they anticipate U.S. inflation data.

The DAX futures contract in Germany traded 0.58 higher, CAC 40 futures in France up 0.44% to 8,084.80 and the UK 100 futures contract in the U.K. up 0.56% to 7,979.26.

U.S. stocks edge towards a higher close as markets prepare for CPI data and earnings.

On Tuesday, the Nasdaq and S&P 500 saw slight increases, with anticipation building for significant inflation figures looming ahead. However, financial stocks dragged down gains as investors geared up for the kick-off of earnings reporting season by major U.S. banks on Friday.

Indexes: Dow down 0.02%, S&P 500- up 0.14%, Nasdaq up 0.32%.

Corporate News:

Netflix, Inc. (NFLX) down 1.62% at 618.20, Tesla, Inc (TSLA) up 2.25% at 176.88, Apple Inc. (AAPL) up 0.72% at 169.67. Goldman Sachs Group Inc (GS) up 0.041% at 410.71, Morgan Stanley (MS) up 0.93% at 94.08.

Key Economic Events & Data Release Today:

(NZD) RBNZ Rate Statement at 07:30.

(USD) CPI (YoY) (Mar) Forecast 3.4%, Previous 3.2% at 18:00.

(USD) Core CPI (MoM) (Mar) Forecast 0.3%, Previous 0.4% at 18:00.

(USD) CPI (MoM) (Mar) Forecast 0.3%, Previous 0.4% at 18:00.

(CAD) BoC Interest Rate Decision Forecast 5.00%, Previous 5.00% at 19:25.

(CAD) BoC Monetary Policy Report at 19:15.

(USD) FOMC Meeting Minutes at 23:30.