. Daily Index Analysis - Nasdaq soars, S&P breaks records.

Daily Index Analysis – Nasdaq soars, S&P breaks records.

Daily Index Analysis – Nasdaq soars, S&P breaks records.

08 Feb 2024

Introduction:

Global markets show mixed performance as Asian stocks rise, led by SoftBank boosting Japan’s rally while China faces a slowdown. European stocks decline, influenced by drops in the oil, mining, and retail sectors. In the US, stocks climb amid positive earnings and Federal Reserve comments on interest rates, creating a varied landscape in the indices market.

Market In Focus for today – Nasdaq 100

The NASDAQ 100 experienced a slight rally leading into Wednesday’s cash session, reflecting ongoing upward pressure in the market.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 17751.41 | Positive Crossover | Bullish
  • MA 20: 17268.02 | Positive Crossover | Bullish
  • MA 50: 17536.51 | Positive Crossover | Bullish

Simple:

  • MA 5: 17746.95 | Positive Crossover | Bullish
  • MA 20: 17628.20| Positive Crossover | Bullish
  • MA 50: 17536.09 | Positive Crossover | Bullish

RSI (Relative Strength Index): 64.51| Buy Zone| Bullish

Stochastic Oscillator: 96.08| Buy Zone | Positive

Resistance And Support Levels:

  • R1: 17860.96 | R2: 18264.31
  • S1: 17444.59| S2: 17041.24

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion: Limit Buy: 17392.55 | Take Profit: 17860.96| Stop Loss: 17132.32.

S&P 500:

The S&P 500 achieves a record close as yields increase, and the dollar recedes.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 4988.01 | Positive Crossover | Bullish
  • MA 20: 4957.78 | Positive Crossover | Bullish
  • MA 50: 4914.56 | Positive Crossover | Bullish

Simple:

  • MA 5: 4983.47 | Positive Crossover | Bullish
  • MA 20: 4957.78| Positive Crossover | Bullish
  • MA 50: 4914.56| Positive Crossover | Bullish

RSI (Relative Strength Index): 69.84| Bullish Zone| Positive

Stochastic Oscillator: 92.92| Buy Zone | Neutral

Resistance And Support Levels:

  • R1: 5019.52 | R2: 5100.83
  • S1: 4950.72| S2: 4844.40

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion:  Limit Buy: 4916.32 | Take Profit: 5019.52| Stop Loss: 4853.78.

FTSE 100:

On Wednesday, the FTSE 100 concluded in negative territory, pulled down by the consumer goods, retail, and mining sectors.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 7659.45 | Negative Crossover | Bearish
  • MA 20: 7661.43 | Negative Crossover | Bearish
  • MA 50: 7594.53 | Positive Crossover | Bullish

Simple:

  • MA 5: 7663.03 | Negative Crossover | Bearish
  • MA 20: 7661.45| Negative Crossover | Bearish
  • MA 50: 7594.37| Positive Crossover | Bullish

RSI (Relative Strength Index): 48.08| Buying Zone| Buy

Stochastic Oscillator: 0.00| Sell Zone | Negative

Resistance And Support Levels:

  • R1: 7698.9 | R2: 7778.8
  • S1: 7635.7| S2: 7535.3

Overall Sentiment: Neutral | Market Direction: Sell

Trade Suggestion:  Stop Buy: 7618.9 | Take Profit: 7535.3| Stop Loss: 7680.3.

EURO STOXX 50:

European markets declined following M&A news and corporate updates that failed to impress investors.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 4697.13 | Positive Crossover | Bullish
  • MA 20: 4684.06 | Positive Crossover | Bullish
  • MA 50: 4602.08 | Positive Crossover | Bullish

Simple:

  • MA 5: 4696.02| Positive Crossover | Bullish
  • MA 20: 4685.02| Positive Crossover | Bullish
  • MA 50: 4602.56| Positive Crossover | Bullish

RSI (Relative Strength Index): 64.09| Positive Zone| Bullish

Stochastic Oscillator: 48.36|Buy Zone | Negative

Resistance And Support Levels:

  • R1: 4718 | R2: 4796
  • S1: 4634| S2: 4533

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion:  Buy Limit: 4640 | Take Profit: 4718| Stop Loss: 4595.

Elsewhere in the Indices Market:

Asian stocks climb as SoftBank drives a rally in Japan; however, the rebound in China faces a slowdown.

The Shanghai composite is up at 0.49%. Overall, the Singapore MSCI up 0.01% to 279.18. Over in Hong Kong, the Hang Seng Index is down 1.30% to 15,872.35. In Japan, the Nikkei 225 was up 2.06% to 36,863.28, while the Topix index was up 0.38% to 2559.56. South Korea’s Kospi up 0.09% to 2,612.00. Australia S&P/ASX 200 is up 0.31% to, 7,639.20.

European stocks decline as shares in oil, mining, and retail sectors experience a drop.

The DAX futures contract in Germany traded 0.65 lower, CAC 40 futures in France down 0.36% to 7,611.26, and the UK 100 futures contract in the U.K. down 0.68% to 7,628.75.

US stocks climbed as a result of positive earnings and new comments from the Federal Reserve regarding interest rates.

On Wednesday, US stocks edged higher as traders absorbed additional fourth-quarter earnings and evaluated comments from central bank officials regarding the trajectory of rate cuts in the coming year.

Indexes: Dow up 0.40%, S&P 500- up 0.82%, Nasdaq up 0.95%.

Corporate News:

Netflix, Inc. (NFLX) is up 0.62% at 559.80, Tesla, Inc. (TSLA) is up 1.34% at 187.58, and Apple Inc. (AAPL) is up 0.058% at 189.41. Goldman Sachs Group Inc (GS) up 0.43% at 386.66, Morgan Stanley (MS) down 0.12% at 86.00.

Key Economic Events & Data Release Today:

(AUD) Building Approvals (MoM) Actual –9.5%, Forecast –9.5%, Previous 1.6% at 06:00.

(CNY) CPI (MoM) (Jan) Actual 0.3%, Forecast 0.4%, Previous 0.1% at 07:00.

(USD) Initial Jobless Claims Forecast 221K, Previous 224K at 19:00.