Wednesday, March 24, 2021

25 March 2021 Foreign

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


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E-Mini Dow


The S&P 500 and Dow closed lower on Wednesday as optimism about the economic recovery by Federal Reserve Chair Jerome Powell and Treasury Secretary Janet Yellen was unable to halt a decline in technology shares for a second straight day.

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Plan A : Attempt short if market trades below 32408. Targets are 32280 and 32046.

Plan B : Consider long only if market supported firmly above 32046 and rebound. Targets are 32280 and 32408.



E-Mini S&P 500

The S&P 500 gave up earlier gains and closed in the red Wednesday as tech stocks sold off, continuing a market rotation out of high-flying growth names.

The market suffered an ugly close where the declines in technology shares accelerated, dragging down the major averages in a rapid fashion in the final minutes. The S&P 500 fell 0.6% to 3,889.14 after rising as much as 0.8%. 

The tech sell-off came even as bond yields continued to decline from recent highs. The 10-year Treasury yield dipped 3 basis points to 1.61% Wednesday, falling for a third day after the rate hit a 14-month high last week.

One bright spot on Wednesday was the energy sector, which gained 2.5% as oil prices bounced back 6%. The material and financial sectors also outperformed, rising about 0.7% each.

Investors are on edge as many regions of the world are seeing rising Covid-19 cases as highly contagious variants continue to spread. Germany and France are extending or enforcing new lockdown measures.

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Plan A : Long if market supported firm above 3898. Targets are 3913, 3931 and 3949.

Plan B : Short if market failed to support above 3898. Targets are 3873, 3840 and 3798.



E-Mini Nasdaq

Futures contracts tied to the major U.S. stock indexes rose in early morning trading on Thursday after pressure on technology stocks sent the Nasdaq Composite down 2% during the regular session.

The tech-heavy Nasdaq Composite dropped 2% to 12,961.89, closing at its session low. Apple, Facebook and Netflix all slid more than 2%, while Tesla fell 4.8%.

Pressure on equities came even as bond yields continued to decline from recent highs. The 10-year Treasury yield dipped 3 basis points to 1.61% Wednesday, falling for a third day after the rate hit a 14-month high last week.

Investors will on Thursday pore over the Labor Department’s latest report on jobless claims. The department is expected to report that 735,000 Americans filed for.

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Plan A : Short if market failed to support above 12752. Targets are 12710, 12675 and 12631.

Plan B : Long if market retraced but supported firm above 12752. Targets are 12782, 12821 and 12859.



HSI

Hong Kong stocks marked their lowest close in more than 10 weeks on Wednesday, tracking an overnight slump in Wall Street, on concerns of potential U.S. rate hikes and global policy tightening.

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Plan A : Remain sell as long as market stays below 28029. Targets are 27758 and 27484.

Plan B : Consider long only if market able to support above 27484 and rebound. Targets are 27758 and 27902.



WTI Crude

Oil rose more than 6% on Wednesday after a ship ran aground in the Suez Canal, and worries that the incident could tie up crude shipments gave prices a boost after a slide over the last week.

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Plan A : Remain sell as long as oil price trades below 60.8. Targets are 59.3 and 57.3. 

Plan B : Consider long only if oil price able to trade firmly above 60.6. Targets are 61.6 and 62.7.



Gold

Gold gained on Wednesday, taking an uptick in U.S. Treasury yields and the dollar in stride, as the safe-haven metal drew support from Federal Reserve Chair Jerome Powell's repeated calls to keep low-interest rates pinned near zero.

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Plan A : Remain buy as long as market trades firmly above 1714.2. Targets are 1752.4 and 1776.

Plan B : Consider short only if gold price surges but fails to breach above 1752.4. Targets are 1728 and 1714.2



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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