Week Ahead: Welcoming 2026
S&P 500 (SPX): Range-bound with breakout pressure building
S&P 500 (SPX): Range-bound with breakout pressure building
The S&P 500 is pressing against the upper boundary of its consolidation range at 6,925. A sustained close above 6,925 with follow-through would be required to unlock the next upside objective toward 7,215. FFI indicator shows improving net flows, but somewhat uneven.
Tactical Trade:
Given the current setup, tactical longs remain preferred on shallow pullbacks above 6,700–6,750, targeting a retest and potential break of 6,925, with stops placed below 6,633.
Directional Probability (AI-Assisted):
Bullish (break above 6,925): 34%
Rangebound (6,633–6,925): 50%
Bearish (break below 6,633): 16%
Hang Seng Index (HSI): Range-bound bias, cautiously stabilising
The HSI remains confined within its broad consolidation range between 25,150 and 27,383, with recent price action stabilising around the mid-range, near 25,690 level. The FFI indicator remains negative but moderating
Tactical Trade:
Short-term traders may consider tactical dip-buys near 25,150–25,300, targeting a rebound toward 25,690–26,000, with stop below 25,150.
Directional Probability (AI-Assisted):
• Bullish (toward 27,383): 20%
• Rangebound (25,150–26,893): 58%
• Bearish (below 25,150): 22%
Straits Times Index (STI): Bullish continuation toward 4,690
The STI continues to trend higher above the former 4,575 resistance. Pullbacks have been shallow, with FFI indicator continues to shows positive flow, supporting current upward trend.
Tactical Trade:
Short-term traders can look for buy-on-dips above 4,580–4,600, targeting 4,690, with stops below 4,520
Directional Probability (AI Assisted):
• Bullish (towards 4,690): 62%
• Rangebound (4,460–4,575): 28%
• Bearish (towards 4,372): 10%
Disclaimers apply