Market Technician

  Thoughts on the Week Ahead: Week of May 27, 2024 Taking a lift down from the HDB flat, enjoy a brisk walk to Sixth Avenue for Sunday breakfast. This scenario, unimaginable many candlesticks ago, is soon becoming a reality in Singapore. This week, the spotlight is on the US PCE inflation report, which has the potential to move the market. The market expects a 0.3% uptick, a notable deceleration from March. The US earnings season is nearly over, with attention remaining on results from Costco and Dell. In China, May's official PMI figures are anticipated to reflect a modest expansion in manufacturing, shedding light on the potential allocation of over CNY 1 trillion in stimulus from long-dated bonds. Market technicals for the S&P 500 continue to suggest an upward trend, but we are very cautious about the market as the earnings season ends and investors re-evaluate current valuations. Our target remains at 5,400, with immediate support at 5,260. Our trading strategy for the week

  Keppel DC REIT (AJBU) Expect price to trade towards S$2.00 We have observed a decrease in technical supply at the S$1.80 support area during recent trading sessions. Furthermore, a softer interest rate outlook could be advantageous for the Data Centre operator.  Consequently, we anticipate the REIT to move towards our initial target of S$2.00, with the potential to reach S$2.20 if it breaks through resistance. Our stop level is set below S$1.72. Disclaimers Apply

  Thoughts on Week Ahead: Week 19 May 2024 “It’s Fresh!” US markets hit fresh highs this week, driven by modest CPI data and resilient earnings reports. Investors are now awaiting the FOMC minutes for clues on the future interest rate policy. Additionally, Nvidia’s upcoming earnings report is expected to shed light on the strength of the current AI-driven rally. We initially anticipated sideways momentum in the US market indices, but the market exceeded our expectations, breaking above our range. As a result, we have revised our technical outlook to cautiously bullish, setting our next target at 5,420. In the East, Beijing is implementing more aggressive policies following its trillion-dollar bond sale. The central government plans to buy back unsold homes and eliminate mortgage rate floors for individuals. Our team believes that even more aggressive measures may be introduced if necessary to revive the economy and stabilize falling property prices. The Greater China indices, China A50

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  Week Ahead - 13 May 2024 After being presented with the “Mee Siam” cake, PM Lee will be stepping down this week, with Finance Minister Lawrence Wong stepping up to lead Singapore into the future. Meanwhile, the Straits Times Index (STI) continues to trade within a range, showing potential to retest the 3,350 level, with support at 3,240. The release of April's non-oil domestic exports on Friday could significantly influence the STI, especially as earnings announcements begin to taper off. Currently, no significant technical signals have been observed in the US, Hong Kong, and China markets. The US S&P 500 is range bound between 4,950 and 5,250. Separately, President Biden's announcement of imposing 100% tariffs on Chinese EVs, we are closely monitoring for any notable technical movements in these stocks. In Asia, the China A50 index is expected to retest its previous high of 13,500 , bolstered by growing investor optimism and a series of economic and housing measures fr

  Malaysia KLCI:  Broke out of its long-term trend line, suggesting a potential bottoming process. First technical target at 1,700. Investors could tip toe for long term positions, while traders could lookout for trading opportunities on the market. Increasing foreign investment in MY: https://www.businesstimes.com.sg/international/asean/microsoft-ceo-pledges-rm10-5-billion-cloud-ai-investment-malaysia https://www.reuters.com/technology/nvidia-talks-with-malaysias-ytl-data-center-deal-sources-2023-12-08/ https://fortune.com/2023/08/23/tesla-malaysia-elon-musk-anwar-ibrahim-affirmative-action-spacex-starlink/ Disclaimers apply

  Hang Seng Tech (HK):  Index managed to reclaim its crucial support level at 3,700, opening the possibility of a retest of 4,700. Similarly, investors could consider long term positions, while traders look for trading opportunities within its component stocks. Disclaimers apply

  Thoughts on Week Ahead: Week 6 May 2024 In a surprising turn of events, bad news is good news, US markets rallied last Friday on weaker-than-expected jobs report, reigniting hopes of rate cuts. The upcoming week is relatively quiet in terms of economic data releases. On the technicals, the S&P 500 remains range-bound between 5,250 and 4,950 as markets continues to tussle between earnings growth and the high borrowing rate environment .   Lastly, the Straits Times Index (STI) is currently testing its 3,300 level, with a potential retest of the key resistance at 3,350.  Headlines for the week: - US Corp Earnings (Walt Disney, Toyota, Uber, Airbnb, and Shopify) - SG Corp Earnings (OCBC, REITs) - US FED officials speak - China PMIs Disclaimers apply