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Week Ahead: Expectations of a 25bps Cut as Markets Trade Range Bound

 


Week Ahead: 8 Dec 2025
US FOMC Meeting takes the spotlight for the week ahead.

Short Term: 
S&P 500 (SPX):
The index climbed toward the upper boundary of its consolidation zone between 6,633 and 6,925, as expected from previous analysis. Price remains capped just below the key 6,925 resistance, while demand supply signals remain mixed. 

A clean breakout above 6,925 would signal a bullish continuation, opening the next measured move target near 7,215, while rejection at resistance would keep the index trading within the established range. 

Tactically, longs remain favoured on dips above 6,700 with stops below 6,660.

Directional Probability (Beta, AI-Assisted):
Bullish (break above 6,925): 32%
Rangebound (6,633–6,925): 54%
Bearish (break below 6,633): 14%

Hang Seng Index (HSI):
The HSI continues to trade within a wide multi-month consolidation band between 25,150 and 27,383. Overall structure remains directionless, with  FFI indicator continues to show uneven and largely weak flow readings, reinforcing the non-trending environment.

We continue to monitor for signs of directional move within the current band.

Short-term traders may consider tactical dip-buys near 25,150–25,300.

Directional Probability (Beta, AI Assisted):
Bullish (toward 27,383): 20%
Rangebound (25,150–26,893): 58%
Bearish (below 25,150): 22%

Straits Times Index (STI):
The STI has pulled back slightly after testing the 4,575 resistance zone, but overall structure remains constructive as long as price holds above the 4,460 support level. We expect index to trade range bound with potential of trading higher towards 4,690 level.

Short-term traders can look for tactical longs on dips above 4,500.

Directional Probability (Beta, AI Assisted):
Bullish (towards 4,575 and above): 52%
Rangebound (4,460–4,575): 38%
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: US FOMC, Job Opening
China: Nov CPI
Singapore: Unemployment

Disclaimers apply

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