Market Technician

  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