Market Technician

  Week Ahead, 30 Sept 2024 A month ago, the acronym ABC stood for "All But China." A month later, it became "All-in Buy China." The China A50 Index surged 22% for the week, and the Hang Seng Index (HSI) outperformed the S&P 500 year-to-date. These gains followed Beijing's announcement of forceful policies to stimulate economic growth ahead of China's Golden Week holiday. Using the China A50 Index, Our Cycle Indicator for China markets, has turned positive (bullish). Therefore, investors might consider allocating funds to ETFs such as MCHI (US-listed), 2800 or 2822 (HKEX-listed), or HST or YYY (SGX-listed), which track the broader Greater China markets. Psychologically, the current price level might seem "too high" for some investors. One strategy is to start with 25% of the intended allocation and gradually increase it over time or apply Dollar Cost Averaging (DCA). However, it's important to remain cautious. Markets will continue to monito...

  Singapore Banks: Larger than usual sell off today. Banks could see short-term pullback or consolidation following their recent rally.  Disclaimers apply

  NASDAQ 100 ETF: The ETF has broken out of its downtrend line, signaling a potential retest of its previous high at US$500 area , with immediate support at 470. Disclaimers apply

  Asian and Emerging Markets equities and bonds: Expected to benefit from the Federal Reserve's rate cut,  as borrowing costs are expected to decrease, while stocks' valuation are further supported by stronger local currencies. EM, SG, HK ETFs have outperformed SPY ETF since rate cut announcement. Disclaimers apply

  Singapore Real Estate Investment Trusts (REITs): Expect to go thru short-term pullback or consolidation following their recent rally.  Disclaimers apply

  Week Ahead, 23 Sept 2024 Asian and Emerging Markets equities and bonds are set to benefit from the Federal Reserve's rate cut , as borrowing costs are expected to decrease, while stocks are further supported by stronger currencies. The U.S. S&P 500 Index continues its upward trend. As long as the index holds above the 5,650 support level, the next technical target lies in the 5,900-6,000 zone. The NASDAQ 100 ETF has broken out of its downtrend line, signalling a potential retest of its previous high in the 500 area , with immediate support at 470. The Straits Times Index (STI) has reached its 3,600 technical target and may consolidate this week before moving towards the 3,700 area. Immediate support for the STI stands at 3,500. Singapore real estate investment trusts (REITs) are expected to go thru short-term pullback or consolidation following their recent rally. No single stock setups have been identified for the week ahead. Headlines for the week: - US Aug PCE, PMI ...

  Gold: Next technical projection for gold price is US$2,850/ounce basing on US$1,600-2,000 range. Disclaimers apply