. Daily Index Analysis - Global markets tumble amid Middle East tensions.

Daily Index Analysis – Global markets tumble amid Middle East tensions.

Daily Index Analysis – Global markets tumble amid Middle East tensions.

19 Apr 2024

Introduction:

Amid escalating tensions in the Middle East, Asian markets are experiencing a downturn. Major indices, including the Shanghai Composite and Japan’s Nikkei 225, recorded losses. Meanwhile, European stocks follow suit after Israel’s retaliatory strike on Iran. In the U.S., stock futures decline as Federal Reserve officials’ hawkish comments raise concerns about extended high-interest rates.

Market In Focus for today – Nasdaq 100

During Thursday’s trading session, the NASDAQ 100 attempted to find some stability.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 17676.24 | Negative Crossover | Bearish
  • MA 20: 17860.72 | Negative Crossover | Bearish
  • MA 50: 18086.26 | Negative Crossover | Bearish

Simple:

  • MA 5: 17705.43 | Negative Crossover | Bearish
  • MA 20: 17960.00| Negative Crossover | Bearish
  • MA 50: 18191.44 | Negative Crossover | Bearish

RSI (Relative Strength Index): 30.36| Sell Zone| Bearish

Stochastic Oscillator: 5.94| Selling Zone | Neutral

Resistance And Support Levels:

  • R1: 17853.06 | R2: 18670.13
  • S1: 17206.71| S2: 16560.37

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion: Sell Limit: 17767.69 | Take Profit: 17182.32| Stop Loss: 18218.91.

S&P 500:

For the fifth consecutive day, the S&P 500 declined in previous session, marking its lengthiest downturn since October of last year.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5068.13 | Negative Crossover | Bearish
  • MA 20: 5111.61 | Negative Crossover | Bearish
  • MA 50: 5172.10 | Negative Crossover | Bearish

Simple:

  • MA 5: 5070.45 | Negative Crossover | Bearish
  • MA 20: 5126.87| Negative Crossover | Bearish
  • MA 50: 5207.02 | Negative Crossover | Bearish

RSI (Relative Strength Index): 31.63 | Selling Zone| Negative

Stochastic Oscillator: 10.43| Sell Zone | Neutral

Resistance And Support Levels:

  • R1: 5117.92 | R2: 5278.21
  • S1: 4981.51| S2: 4834.87

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion:  Sell Limit: 5145.20 | Take Profit: 4998.56| Stop Loss: 5257.74.

FTSE 100:

The FTSE 100 falls amidst a global market shift towards risk aversion, fuelled by apprehensions regarding escalating tensions in the Middle East.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 7874.29 | Negative Crossover | Bearish
  • MA 20: 7897.76 | Negative Crossover | Bearish
  • MA 50: 7902.46 | Negative Crossover | Bearish

Simple:

  • MA 5: 7886.05 | Positive Crossover | Bullish
  • MA 20: 7914.06| Negative Crossover | Bearish
  • MA 50: 7937.32 | Negative Crossover | Bearish

RSI (Relative Strength Index): 43.94| Neutral Zone| Neutral

Stochastic Oscillator: 18.89| Negative Zone | Negative

Resistance And Support Levels:

  • R1: 7902.8 | R2: 7990.7
  • S1: 7811.2| S2: 7710.2

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion:  Sell Limit: 7871.2 | Take Profit: 7797.2| Stop Loss: 7927.5.

DAX 40:

The DAX continues to face pressure amid increased tensions in the Middle East.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 17810.37 | Negative Crossover | Bearish
  • MA 20: 17911.80 | Negative Crossover | Bearish
  • MA 50: 18041.00 | Negative Crossover | Bearish

Simple:

  • MA 5: 17812.31 | Negative Crossover | Bearish
  • MA 20: 17925.04 | Negative Crossover | Bearish
  • MA 50: 18192.05 | Negative Crossover | Bearish

RSI (Relative Strength Index): 39.36| Sell Zone| Bearish

Stochastic Oscillator: 29.58| Neutral Zone | Neutral

Resistance And Support Levels:

  • R1: 18146.4 | R2: 18593.8
  • S1: 17630.8 | S2: 17183.4

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion:  Sell Limit: 17903.8 | Take Profit: 17479.1 | Stop Loss: 18191.9.

Elsewhere in the Indices Market:

Asian markets decline as tensions escalate in the Middle East.

The Shanghai composite is down at 0.29%. Overall, the Singapore MSCI up 0.20% to 290.38. Over in Hong Kong, the Hang Seng Index down 0.99% to 16,224.14. In Japan, the Nikkei 225 down 2.66% to 37,068.35, while the Topix index was down 1.91% to 2626.32. South Korea’s Kospi down 1.63% to 2,591.86. Australia S&P/ASX 200 down 0.98% to, 7,567.30.

European stocks decline following Israel’s retaliatory strike on Iran.

The DAX futures contract in Germany traded 0.96 lower, CAC 40 futures in France down 0.75% to 7,962.93, and the UK 100 futures contract in the U.K. down 0.67% to 7,824.53.

US stock futures decline as Federal Reserve officials express hawkish views.

U.S. stock index futures dipped during evening trading on Thursday due to hawkish remarks from Federal Reserve officials, amplifying worries about prolonged high interest rates.

Indexes: Dow down 0.38%, S&P 500- down 0.2%, Nasdaq down 0.5%.

Corporate News:

Netflix, Inc. (NFLX) down 0.41% at 611.15, Tesla, Inc (TSLA) down 3.55% at 149.93, Apple Inc. (AAPL) down 0.57% at 167.04. Goldman Sachs Group Inc (GS) down 0.20% at 403.11, Morgan Stanley (MS) up 0.20% at 90.26.

Key Economic Events & Data Release Today:

(GBP) Retail Sales (MoM) (Mar) Forecast –0.3%, Previous –0.0% at 11:30.

(GBP) Core Retail Sales (MoM) (Mar) Previous 0.2% at 11:30