. Daily Index Analysis - Global markets plunge, breaking winning streaks.

Daily Index Analysis – Global markets plunge, breaking winning streaks.

Daily Index Analysis – Global markets plunge, breaking winning streaks.

08 Jan 2024

Introduction:

In global indices, Asian stocks face a downturn after Wall Street’s worst week in a decade. Market movements include the Shanghai composite down 1.42%, Hong Kong’s Hang Seng Index down 1.88%, and Japan’s Nikkei 225 up 0.27%. European markets are also in the red, with DAX futures in Germany slightly higher. U.S. stock futures decline, breaking a nine-week winning streak, amid heightened scrutiny of Boeing shares following a challenging start to 2024.

Market In Focus for today – Dow Jones

Dow futures drop by 200 points as Wall Street concludes a nine-week winning streak.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 37620.3 | Negative Crossover | Bearish
  • MA 20: 37824.4 | Negative Crossover | Bearish
  • MA 50: 37742.2 | Negative Crossover | Bearish

Simple:

  • MA 5: 37629.3 | Negative Crossover | Bearish
  • MA 20: 37824.7| Negative Crossover | Bearish
  • MA 50: 37742.7 | Negative Crossover | Bearish

RSI (Relative Strength Index): 38.24| Sell Zone| Bearish

Stochastic Oscillator: 4.45|Sell Zone | Neutral

Resistance And Support Levels:

  • R1: 37776.19 | R2: 38110.50
  • S1: 37481.20| S2: 36360.27

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion: Stop Sell : 37127.22 | Take Profit: 36360.20| Stop Loss: 37717.19.

S&P 500:

Monday morning saw a decline in U.S. stock futures as major averages started 2024 on a negative note, with the S&P 500 experiencing a 0.3% loss.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 4729.81 | Negative Crossover | Bearish
  • MA 20: 4770.29 | Negative Crossover | Bearish
  • MA 50: 4782.12 | Negative Crossover | Bearish

Simple:

  • MA 5: 4728.09 | Negative Crossover | Bearish
  • MA 20: 4770.39| Negative Crossover | Bearish
  • MA 50: 4782.12| Negative Crossover | Bearish

RSI (Relative Strength Index): 33.85| Sell Zone| Bearish

Stochastic Oscillator: 16.57|Sell Zone | Positive

Resistance And Support Levels:

  • R1: 4788.72 | R2: 4845.73
  • S1: 4721.80| S2: 4607.80

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion:  Limit Sell : 4741.63 | Take Profit: 4617.71| Stop Loss: 4820.90.

FTSE 100:

On Monday, the FTSE 100 in the UK continued its decline from the previous week, with energy shares following the downward trend in oil prices. Investors are anticipating the beginning of the earnings reporting period and monitoring various economic datasets scheduled for release this week.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 7682.98 | Negative Crossover | Bearish
  • MA 20: 7718.29 | Negative Crossover | Bearish
  • MA 50: 7674.35 | Negative Crossover | Bearish

Simple:

  • MA 5: 7683.38 | Negative Crossover | Bearish
  • MA 20: 7718.88| Negative Crossover | Bearish
  • MA 50: 7674.15| Negative Crossover | Bearish

RSI (Relative Strength Index): 43.66| Neutral Zone| Neutral

Stochastic Oscillator: 3.06|Sell Zone | Negative

Resistance And Support Levels:

  • R1: 7723.5 | R2: 7791.8
  • S1: 7657.2| S2: 7546.6

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion:  Stop Sell : 7639.1 | Take Profit: 7546.6| Stop Loss: 7707.4.

DAX 40:

European stock markets declined on Monday, with cautious risk appetite prevailing at the outset of a week that features the release of crucial inflation data from the U.S., Japan, and China, DAX 40 in Germany traded 0.1% higher.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 16701.61 | Positive Crossover | Bullish
  • MA 20: 16796.85 | Negative Crossover | Bearish
  • MA 50: 16872.12 | Negative Crossover | Bearish

Simple:

  • MA 5: 16694.08 | Negative Crossover | Bearish
  • MA 20: 16796.85| Negative Crossover | Bearish
  • MA 50: 16872.12| Negative Crossover | Bearish

RSI (Relative Strength Index): 41.02| Neutral Zone| Neutral

Stochastic Oscillator: 38.09|Sell Zone | Positive

Resistance And Support Levels:

  • R1: 16788.5 | R2: 17190.3
  • S1: 16631.3| S2: 16212.0

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion:  Stop Sell : 16578.9 | Take Profit: 16212.0| Stop Loss: 16814.7.

Elsewhere in the Indices Market:

Asian stocks decline after Wall Street logs its worst week in the last 10.

The Shanghai composite is down at 1.42%. Overall, the Singapore MSCI up 0.01% to 279.43. Over in Hong Kong, the Hang Seng Index down 1.88% to 16,224.45. In Japan, the Nikkei 225 up 0.27% to 33,377.42, while the Topix index was up 0.62% to 2,393.54. South Korea’s Kospi down 0.40% to 2,567.82. Australia S&P/ASX 200 down 0.50% to, 7,451.50.

European stock markets are down as investors anticipate upcoming U.S. inflation data later in the week.

The DAX futures contract in Germany traded 0.10 higher, CAC 40 futures in France down 0.07% to 7,415.84 and the UK 100 futures contract in the U.K. down 0.33% to 7,663.96.

Futures decline after Wall Street snaps 9-week winning streak.

Monday morning saw a decline in U.S. stock futures following a negative start to 2024 for major averages. Investors are closely monitoring Boeing shares.

Indexes: Dow down 0.5%, S&P 500- down 0.3%, Nasdaq down 0.3%.

Corporate News:

Netflix, Inc. (NFLX) down 0.13% at 474.06, Tesla, Inc (TSLA) down 0.18% at 237.49, Apple Inc. (AAPL) down 0.40% at 181.18. Goldman Sachs Group Inc (GS) up 0.91% at 386.44, Morgan Stanley (MS) up 1.18% at 93.24.

Key Economic Events & Data Release Today:

(CHF) Retail Sales (YoY) (Nov) Actual 0.7%, Forecast 0.0%, Previous –0.1% at 13:00.

(EUR) Retail Sales (MoM) (Nov) Forecast –0.3%, Previous 0.1% at 15:30.

(EUR) Unemployment Rate (Nov) Previous 6.5% at 15:30.