Market Technician

Week Ahead: 13 Jan, 2025 ·    The hot employment report on Friday suggests that the US Federal Reserve is expected to maintain the target rate at 4.25%-4.50% for an extended period. US equities are showing further technical weaknesses following Friday's report . ·    The Chief Economist from Goldman Sachs mentioned that US President-elect Donald Trump will likely seek an average tariff of 20% on most Chinese goods , with rates as high as 60% on certain categories. ·    On a lighter note, frequent visitors to Malaysia may be interested to know that the popular Oriental Kopi (0338) will be listed on the Malaysia Exchange (Ace Market) at M$0.44. ·     Nil trading set up identified for the week ahead.   Medium Term: ·     S&P 500 (SPX): The S&P 500 is experiencing selling pressure . A key level to monitor is 5,780, along with the upward trendline. If the index remains above these levels, it will continue...

American Express Co. (AXP) – Consolidating for Potential Breakout The chart of American Express Co. (AXP) highlights a potential breakout scenario, drawing attention to traders seeking strong risk-reward setups. Below is a detailed analysis of the stock’s price action and technical indicators to inform your trading decisions. Market Structure and Price Action AXP has been consolidating just below the USD 308.00 resistance level, forming a tight trading range. This pattern suggests a possible accumulation phase, with market participants preparing for the next significant price move. The range-bound nature of the stock offers a clear breakout level that, once breached, could trigger upward momentum. Technical Indicators Relative Strength Index (RSI): The RSI currently stands at 10.37 , showing that the stock is outperforming the broader S&P 500 index. This relative strength aligns with bullish sentiment and points toward the possibility of continued upward momentum. FFI Indicator: ...

AAC Technologies Holdings (2018) - Potential Breakout and Mark Up  AAC Technologies Holdings (2018) is showing signs of a potential breakout scenario based on the current chart setup and technical indicators.  Price Structure The stock has been consolidating in a range near the HKD 37.75  level, signaling potential accumulation. This consolidation is occurring just below a resistance zone at HKD 40.40 , which is key for a breakout confirmation. If the price breaks above this level, it could attract bullish momentum and initiate a new markup phase. Technical Indicators Relative Strength (RS): The RSI is currently at 15.57 , indicating that the stock’s relative strength is outperforming the broader Hang Seng Index (HSI). This aligns with bullish sentiment and suggests underlying strength in the price action. FFI Indicator: The FFI indicator is subdued, which often reflects a low-volume environment during selling phases. This is a healthy sign during consolidation and suppor...

Week Ahead: 6 Jan, 2025 The upcoming week promises to be an intriguing one for financial markets as investors remain cautious and focused on key developments. Major markets have continued to trade within a defined range , reflecting a wait-and-see attitude as participants anticipate the upcoming corporate earnings season. Additionally, much attention is directed toward the policies of US President-Elect Donald Trump, who is set to be inaugurated later this month. Market watchers are eager to discern how his administration's approach might influence economic and regulatory landscapes. In notable individual stock activity, Warren Buffett has made headlines with increased stakes in several companies. Over the past two weeks, Berkshire Hathaway has added to its positions in Occidental Petroleum (OXY), Sirius XM Holdings (SIRI), and VeriSign (VRSN). These moves continue to showcase Buffett's long-term investment strategy and his confidence in these businesses. Lastly, investors sho...

Historical Stock Market Performance During the Year of the Snake (2025) Introduction: The Chinese zodiac plays a fascinating role in shaping cultural beliefs and behaviors. Among the 12 zodiac animals, the Year of the Snake is often associated with intelligence, caution, and financial shrewdness. We take a simply review of three key indices, S&P 500, Hang Seng Index (HSI), and Straits Times Index (STI),  annual performance  during the Year of the Snake. Key Observations from the Data: S&P 500 Performance: Average annual return: 0.47% . Win/Loss ratio: 37.5% (3 years of gains vs. 5 years of losses). Notable years: 1989 marked a robust gain of 27.25% , while 1941 saw a steep decline of -20.22% , coinciding with global tensions during World War II. HSI Performance: Average annual return: -5.36% . Win/Loss ratio: 66.67% (2 years of gains vs. 1 year of losses). Notable years: The index's strongest year was 1989, with a return of 5.55% , while 2001 suffered a severe decli...