. Daily Index Analysis - Navigate market shifts, shape your investments.

Daily Index Analysis – Navigate market shifts, shape your investments.

Daily Index Analysis – Navigate market shifts, shape your investments.

12 Apr 2024

Introduction:

In the indices market landscape, most of Asia’s stocks see declines following a resurgence in Wall Street. The Shanghai composite drops 0.49%, Singapore MSCI slips 0.52%, and Hong Kong’s Hang Seng Index falls 2.18%. Meanwhile, European equities rise alongside a strengthening dollar as traders reassess Federal Reserve easing expectations. U.S. futures also dip as investors scrutinize earnings reports from major banks.

Market In Focus for today – Dow Jones

Dow Jones futures fell slightly early on Friday.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 38861.19 | Negative Crossover | Bearish
  • MA 20: 39041.35 | Negative Crossover | Bearish
  • MA 50: 39294.28 | Negative Crossover | Bearish

Simple:

  • MA 5: 38888.15 | Negative Crossover | Bearish
  • MA 20: 39016.47| Negative Crossover | Bearish
  • MA 50: 39529.14 | Negative Crossover | Bearish

RSI (Relative Strength Index): 27.72| Sell Zone| Bearish

Stochastic Oscillator: 10.16| Sell Zone | Neutral

Resistance And Support Levels:

  • R1: 39153.75 | R2: 39728.28
  • S1: 38600.50| S2: 38100.45

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion: Sell Limit: 38919.68 | Take Profit: 38249.40| Stop Loss: 39355.90.

S&P 500:

On Friday, U.S. stock markets witnessed a decline following a week of inflation data that altered expectations regarding the Federal Reserve’s approach to interest rate cuts. The S&P 500 experienced a decrease as a result.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5232.43 | Negative Crossover | Bearish
  • MA 20: 5240.83 | Negative Crossover | Bearish
  • MA 50: 5244.45 | Negative Crossover | Bearish

Simple:

  • MA 5: 5232.38 | Negative Crossover | Bearish
  • MA 20: 5238.29| Negative Crossover | Bearish
  • MA 50: 5269.00 | Negative Crossover | Bearish

RSI (Relative Strength Index): 45.43| Neutral Zone| Negative

Stochastic Oscillator: 80.48| Buy Zone | Positive

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 : 5244.90 | Take Profit: 5191.21| Stop Loss: 5290.46.

FTSE 100:

On Friday, the FTSE 100 and European stocks saw a favourable upturn following reports of consecutive growth in the UK economy for the second consecutive month in February.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 7981.67 | Positive Crossover | Bullish
  • MA 20: 7966.40 | Positive Crossover | Bullish
  • MA 50: 7916.59 | Positive Crossover | Bullish

Simple:

  • MA 5: 7980.82 | Positive Crossover | Bullish
  • MA 20: 7960.06| Positive Crossover | Bullish
  • MA 50: 7923.35 | Positive Crossover | Bullish

RSI (Relative Strength Index): 67.44| Bullish Zone| Positive

Stochastic Oscillator: 44.22| Neutral Zone | Neutral

Resistance And Support Levels:

  • R1: 8063.1 | R2: 8157.5
  • S1: 7937.2| S2: 7820.4

Overall Sentiment: Bullish | Market Direction: Buy

Trade Suggestion:  Buy Limit : 8014.5 | Take Profit: 8063.1| Stop Loss: 7981.0.

Euro Stoxx 50:

On Friday, European stocks were poised to outpace Wall Street, driven by strong demand for exporter shares as major currencies across the continent weakened against a robust U.S. dollar. This trend stemmed from expectations that the U.S. Federal Reserve would maintain high interest rates.

TECHNICAL OVERVIEW:

Moving Averages:

Exponential:

  • MA 5: 5016.12 | Negative Crossover | Bearish
  • MA 20: 5028.71 | Negative Crossover | Bearish
  • MA 50: 5029.27 | Negative Crossover | Bearish

Simple:

  • MA 5: 5013.06 | Negative Crossover | Bearish
  • MA 20: 5031.86 | Negative Crossover | Bearish
  • MA 50: 5051.00 | Negative Crossover | Bearish

RSI (Relative Strength Index): 43.43| Neutral Zone| Neutral

Stochastic Oscillator: 43.74| Sell Zone | Neutral

Resistance And Support Levels:

  • R1: 5047 | R2: 5142
  • S1: 4951 | S2: 4856

Overall Sentiment: Bearish | Market Direction: Sell

Trade Suggestion:  Sell Limit : 5008 | Take Profit: 4920 | Stop Loss: 5075.

Elsewhere in the Indices Market:

Most of Asia’s stock markets are in decline following a resurgence in Wall Street.

The Shanghai composite is down at 0.49%. Overall, the Singapore MSCI down 0.52% to 291.77. Over in Hong Kong, the Hang Seng Index down 2.18% to 16,721.69. In Japan, the Nikkei 225 up 0.21% to 39,523.55, while the Topix index was up 0.46% to 2759.64. South Korea’s Kospi down 0.93% to 2,681.82. Australia S&P/ASX 200 down 0.33% to, 7,788.10.

European equities see an uptick while the dollar strengthens, fuelled by traders reducing their expectations of Federal Reserve easing.

The DAX futures contract in Germany traded 0.84 higher, CAC 40 futures in France up 0.78% to 8,086.16 and the UK 100 futures contract in the U.K. up 1.29% to 8,026.40.

U.S Futures decline as traders analyze earnings reports from major U.S. banks.

On Friday, U.S. stock index futures dipped as investors evaluated earnings updates from major U.S. banks, aiming to understand how corporate entities are performing amidst the prevailing high interest rate climate.

Indexes: Dow down 0.33%, S&P 500- down 0.50%, Nasdaq down 0.63%.

Corporate News:

Netflix, Inc. (NFLX) up 1.65% at 628.78, Tesla, Inc (TSLA) up 1.65% at 174.60, Apple Inc. (AAPL) up 4.33% at 175.04. Goldman Sachs Group Inc (GS) down 0.82% at 397.48, Morgan Stanley (MS) down 5.25% at 86.84.

Key Economic Events & Data Release Today:

(GBP) German CPI (MoM) (Mar) Forecast –0.4%, Previous 0.4% at 11:30.

(GBP) Manufacturing Production (MoM) (Feb) Forecast 0.1%, Previous 0.0% at 11:30.

(GBP) GDP (YoY) (Feb) Forecast –0.4%, Previous –0.3% at 11:30.

(GBP) GDP (MOM) (Feb) Forecast 0.1%, Previous 0.2% at 11:30.

(EUR) ECB Forecast at 13:30.