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Week Ahead: Neutral Stance Ahead of Jackson Hole Economic Symposium

 



Week Ahead: 18 Aug 2025

Given policy uncertainties, we maintain a neutral stance ahead of Jackson Hole.

Short Term: 
S&P 500 (SPX): The S&P 500, despite breaking above its 6,420 resistance level, reflected caution as our volume-based momentum indicator (FFI) continues to diverge from the index trend. Our base case expectation is for the index to consolidate around the 6,420 level. 

Favor range trading between 6,300–6,500. Short-term traders may sell strength above 6,450 with tight stops.

Hang Seng Index (HSI): The Hang Seng Index (HSI) is trading within the 23,700–25,750 range. The FFI indicator remains mixed. From a technical perspective, we are monitoring for clearer demand or supply signals to determine the next directional move beyond this range.

Traders to consider long near 23,700 support, sell near 25,700 resistance.

Straits Times Index (STI): The Straits Times Index (STI) continues to consolidate within its trading range (black lines), retesting the 4,275 all-time high resistance.   We are monitoring the index for a directional breakout.

Momentum traders may enter on a confirmed breakout above 4,275, targeting 4,400.

Long Term:
S&P 500 (SPX) Upward Trend
Hang Seng Index (HSI) Upward Trend
Straits Times Index (STI) Uptrend Trend

Headlines Next Week:
US Corp Earnings: Palo Alto, HD, CRM, TGTWMT
US: Jackson Hole Symposium w/ Powell speech, Jul FOMC minutes, Aug PMI (mfg & svcs), housing data, jobless claims, leading index, Phila Fed outlook
China: Aug LPR fixing (1Y & 5Y), Jul FDI, Jul retail sales, IP, jobless rate, property data
Singapore: PM Wong National Day Rally, Jul NODX, Jul electronic exports

Disclaimers apply


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