Monday, March 28, 2022

29 March 2022 Foreign

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


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E-Mini Dow


U.S. markets rose for third day on Monday, as a sharp climb in shares of Tesla overshadowed weakness in energy and bank stocks, while Russia and Ukraine were poised to hold their first face-to-face peace talks in more than two weeks.

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Plan A: Remain buy a long as market trades firmly above 34567. Targets are 34836 and 35019.

Plan B: Consider short if market surges but fails to breach above 35019. Targets are 34567 and 34334.



E-Mini S&P 500

The S&P 500 rose on Monday, extending two weeks of gains, as investors shook off recession concerns and bid tech shares higher.

The S&P 500 gained 0.7% to 4,575.52. The S&P 500 hit its high of the session as crude oil hit its low of the day, down more than 11%.

Investors continue to keep a close eye on the Fed. Wall Street firms from Goldman Sachs to Bank of America penciled in half-point hikes in future Fed meetings this year after the central bank’s chair Jerome Powell vowed to be tough on inflation and said rate increases could become more aggressive if necessary.

The closely watched monthly jobs report release happens on Friday. Economists expect 460,000 jobs were added in March and the unemployment rate fell to 3.7%, according to Dow Jones. That compares to the 678,000 non-farm payrolls added in February and an unemployment rate of 3.8%.

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Plan A: Long if market retraced and supported firm above 4461. Targets are 4470, 4482 and 4493. 

Plan B : Short if market failed to support above 4461. Targets are 4450, 4439 and 4428.


E-Mini Nasdaq

Major averages struggled to start Monday after a part of the Treasury yield curve briefly inverted overnight, raising some recession fears. The yield on the 5-year Treasury note rose to 2.6361%, while the 30-year yield was down less than 1 basis point to 2.6004%. The spread ended the day negative, with the 30-year yielding below the 5-year for the first time since March 2006.

Investors continue to monitor developments in Russia’s war on Ukraine. Peace talks between the two nations are set to continue this week, with delegations from both countries traveling to Turkey on Monday. Kremlin spokesperson Dmitry Peskov told reporters that discussions were likely to resume Tuesday.

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Plan A: Long if market supported firm above 15019. Targets are 15050 and 15082.

Plan B: Short if market failed to support above 15019. Targets are 14985 and 14952.


HSI

Hong Kong stocks advanced as investors scooped several industry leaders on valuation appeal after a sell-off this month, overturning earlier losses triggered by concerns about a Covid-19 lockdown around the Shanghai financial hub.

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Plan A: Attempt long if market trades firmly above 21647. Targets are 21978 and 22451.


Plan B: Consider short if market falls back below 21647. Targets are 21520 and 21200.



WTI Crude

Oil declined more than 8% at the lows of the day on Monday as concerns over new lockdowns in China and the potential impact on demand sent prices tumbling.

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Plan A: Remain short as long as oil price stays below 109.6. Targets are 103.6 and 102.3.

Plan B: Consider long only if oil price supports well above 103.6 and rebound. Targets are 107.0 and 109.6.



Gold

Gold retreated on Monday on pressure from higher U.S. Treasury yields and a firmer dollar.

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Plan A: Remain short as long as gold price stays below 1942.5. Targets are 1918.7 and 1903.9.

Plan B: Consider long if gold price supported firmly above 1918.7 and rebound. Targets are 1930.6 and 1942.5.

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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