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Week Ahead: Equities Market Copping with AI Bubble Concerns

 



Week Ahead: 1 Dec 2025

Short Term: 
S&P 500 (SPX): The index is trading back toward the top of its consolidation band between 6,633 and 6,925, showing improving momentum after defending the 6,633 support multiple times. Price is still below the key resistance at 6,925, so the near-term path is a retest of this upper boundary unless sellers emerge early.

A breakout above 6,925 opens room toward 7,215, but failure at resistance would keep the index oscillating within the current range.

Look for tactical longs above 6,700, targeting a retest of 6,925, with stops below 6,660. 

Directional Probability (Beta, AI Assisted):
Bullish (above 6,633): 28%
Rangebound (6,925-6,633): 57%
Bearish (below 6,925): 15%

Hang Seng Index (HSI): HSI remains trapped in a broad consolidation zone between 25,150 and 27,383, with shorter-term fluctuations anchored around the mid-range level at 25,690. Recent price action shows reluctance to break either boundary, while the FFI indicator above continues to signal weak money-flow momentum.

Unless a strong macro catalyst emerges (China stimulus, liquidity injection, or USD weakness), the index is likely to continue oscillating within this multi-week range. A breakout above 26,893 is the first sign of meaningful upward momentum; failure to hold 25,690 risks another retest of 25,150.

Short-term traders can consider buying dips near 25,150–25,300 with tight stops, targeting a move back toward 25,690–26,000. 

Directional Probability (Beta, AI Assisted):
Bullish (above 27,383): 18%
Rangebound (25,150–25,690): 62%
Bearish (below 25,150): 20%

Straits Times Index (STI): The STI has reclaimed the 4,478 breakout level and is now consolidating just above it, showing constructive price behaviour despite mild pullbacks. The index is attempting to build a higher low structure, with upside targets at 4,560 and 4,644 if momentum continues.

While short-term momentum is positive, upside progress remains dependent on sustaining closes above 4,478. Losing this level would increase the risk of mean reversion back toward 4,372.

Short-term traders can look for long entries on dips above 4,480, targeting 4,560 with stops placed below 4,450

Directional Probability (Beta, AI Assisted):
Bullish (towards 4,560): 58%
Rangebound (4,478-4,560): 32%
Bearish (towards 4,372): 10%

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

Headlines Next Week:
US: ISM mfg & svcs, ADP, PCE, sentiment, jobless claims; ongoing Sep data releases.
China: Official PMI (mfg, non-mfg), services PMI
Singapore: PMI (official & S&P), retail sales.

Disclaimers apply



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