Monday, December 21, 2020

22 December 2020 Foreign

           FUTURESCOIN IS GOING                       GLOBAL


WTI Crude, Gold, HSI, Dow, S&P 500 and Nasdaq

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E-Mini Dow


The S&P 500 closed lower on Monday, having clawed its way back from steep losses early in the session as investors juggled the outbreak of an ominous new strain of COVID-19 with the passage of a long-anticipated stimulus package. Blue-chip Dow on the other hand, managed to reverse course for a modest gain.

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Plan A : Remain buy as long as market stays firm above 29899. Targets are 30145 and 30255.

Plan B : Consider sell if remain trading below 30255. Targets are 30065 and 29899.



E-Mini S&P 500

The S&P 500 fell slightly in volatile trading on Monday to start the holiday week as enthusiasm over a coronavirus stimulus deal was overwhelmed by worries over a viral new Covid strain in the U.K.

The broad equity index dipped 0.4%, or 14.49 points, to 3,694.92 after falling nearly 2% at its session low. 

Tesla dropped more than 6% as it entered the S&P 500 with a 1.69% weighting in the index, the fifth largest. The stock fell to its session following a report that Apple is moving forward with its plan to produce electric vehicles.

Now with a stimulus package agreed upon, investors may also be seeking to lock in profits after an unexpected banner year. With less than two trading weeks left in 2020, the S&P 500 is up 14.4% for the year.

“Covid mutations are a reality, and there is at least some disappointment around what’s actually in the stimulus deal, which means we may see this translate into volatility as we narrow in on the end of 2020,” said Chris Larkin, managing director of trading and investing product at E-Trade.

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Plan A : Short if market failed to support above 3664. Targets are 3639, 3611 and 3585.

Plan B : Long only if market doesn't retrace much and supported firm above 3664. Targets are 3679, 3695 and 3713.



E-Mini Nasdaq

U.S. stock futures were lower early Tuesday morning after a volatile day on Wall Street that saw the Dow Jones Industrial Average erase a 400-point deficit.

The Nasdaq Composite fell 0.1%, or 13.12 points, to 12,742.52. The Nasdaq Composite has rallied 42.0% this year as investors favored high-growth technology companies.

During Monday’s regular market hours, stocks opened sharply lower amid concerns about a new variant of Covid-19 in the United Kingdom. Many European countries implemented travel restrictions on visitors from the U.K., and New York Gov. Andrew Cuomo called for the United States to take similar steps.

However, many experts, including those from the World Health Organization, said on Monday that the coronavirus vaccines from Pfizer and Moderna would likely be effective against the new variant and that Covid was mutating at a slower pace than the seasonal flu.

On the economic data front, investors will receive new readings on consumer confidence and existing home sales on Tuesday.

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Plan A : Short if market failed to support above 12581. Targets are 12542, 12499 and 12458

Plan B : Long only if market doesn't retrace much and supported firm above 12581. Targets are 12610, 12645 and 12672. 




HSI

Hong Kong stocks ended lower on Monday on worries over China-U.S. tensions, although losses were capped by policy support from Beijing.

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Plan A : Remain sell as long as market stays below 26423. Targets are 26238 and 26100.

Plan B : Consider buy only if market trades firmly above 26358. Targets are 26480 and 26509.



WTI Crude

Oil prices tumbled more than 2% on Monday as a fast-spreading new coronavirus strain that has shut down much of Britain and led to tighter restrictions in Europe sparked worries about a slower recovery in fuel demand.

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Plan A : Remain buy as long as oil price trades firmly above 47.4. Targets are 48.2 and 49.4  

Plan B : Consider sell only if oil price surges but fails to breach above 48.2. Targets are 47.4 and 46.8



Gold

Gold edged down on Monday as fears of a new coronavirus opted for the dollar, while the metal gained some support from a U.S. stimulus package.

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Plan A : Attempt buy if gold price trades firmly above 1885. Targets are 1902 and 1910.

Plan B : Consider sell only if market fails to hold firm above 1885. Targets are 1866 and 1854.



Disclaimer: This information is intended to assist professional investors. News are credit courtesy of Reuters, Nasdaq.com, Bloomberg, CNN, Market Watch, FT.com, the Star online, forbes.com, mining.com and CNBC. The information does not constitute investment advice or an offer to invest or to provide management services and is subject to correction, completion and amendment without notice.As with all investments, there are associated risks and you could lose money investing. Prior to making any investment, a prospective investor should consult with its own investment, accounting, legal and tax advisers to evaluate independently the risks, consequences and suitability of that investment.




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