0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bullish
Gold
Bearish
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Mixed
More View more
Real Time News
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.19% 🇳🇿NZD: 0.19% 🇨🇭CHF: 0.06% 🇪🇺EUR: -0.04% 🇬🇧GBP: -0.08% 🇯🇵JPY: -0.23% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/jOgEIxjTiT
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: France 40: 0.85% Germany 30: 0.84% FTSE 100: 0.65% Wall Street: 0.23% US 500: 0.10% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/CIkPYnBu5L
  • #Gold prices are sinking, dipping back below the $2k/oz figure as inflation expectations continue to ease following Friday's US jobs data. The report showed faster job creation and higher wage growth, cooling Fed stimulus bets
  • Why financial market traders must monitor both monetary and fiscal policy? Find out from @MartinSEssex here:https://t.co/Fkzk88Y5gm https://t.co/D5upwqIsgB
  • 🇬🇧 Claimant Count Change (JUL) Actual: 94.4K Expected: 10K Previous: -28.1K https://www.dailyfx.com/economic-calendar#2020-08-11
  • 🇬🇧 Employment Change (MAY) Actual: -220K Expected: -288K Previous: -126K https://www.dailyfx.com/economic-calendar#2020-08-11
  • 🇬🇧 Average Earnings excl. Bonus (JUN) Actual: -0.2% Expected: -0.1% Previous: 0.7% https://www.dailyfx.com/economic-calendar#2020-08-11
  • 🇬🇧 Average Earnings incl. Bonus (JUN) Actual: -1.2% Expected: -1.1% Previous: -0.3% https://www.dailyfx.com/economic-calendar#2020-08-11
  • 🇬🇧 Unemployment Rate (JUN) Actual: 3.9% Expected: 4.2% Previous: 3.9% https://www.dailyfx.com/economic-calendar#2020-08-11
  • 🇬🇧 Claimant Count Change (JUL) Actual: -28.1K Expected: 10K Previous: -28.1K https://www.dailyfx.com/economic-calendar#2020-08-11
S&P 500 and Nasdaq 100 Outlook: Stocks at a Cross-road

S&P 500 and Nasdaq 100 Outlook: Stocks at a Cross-road

2020-06-16 12:30:00
Paul Robinson, Strategist
Share:

S&P 500 and Nasdaq 100 Highlights:

  • S&P 500 pulling back prior to final gap-fill
  • Nasdaq 100 coming off major channel/psych level

U.S. stocks at risk of declining further

The U.S. stock market was hit with force last week, taking the indices down by the most in a single day since the height of the coronavirus panic. The market though is trying to make that a one-off event with it working on stabilizing a bit.

The S&P 500 is doing so around the 200-day moving average, and regardless of whether the end of the pullback is here or another leg lower is coming, it comes as no surprise we are seeing some volatility around this widely-watched technical threshold.

If the market holds onto yesterday’s low at 2965, and can soon get moving higher, then it could quickly mark the end of a pullback and run towards the corona-gap that kicked off the Q1 sell-off. But if we lose yesterday’s low and the Nasdaq 100, a very important leading index, breaks the lower bounds of nearly two-month channel, then more selling appears to be in the cards.

Equities Forecast
Equities Forecast
Recommended by Paul Robinson
Are indices your thing? Check out the Mid-Q1 Forecast.
Get My Guide

S&P 500 Daily Chart (failed prior to ‘corona-gap’)

S&P 500 daily chart

S&P 500 Chart by TradingView

The Nasdaq 100 is the bull market leader, the keeper of the darling group of stocks known as FANMAG (Facebook, Apple, Netflix, Microsoft, Amazon, and Google). The fact that these are some of the most known and largest companies in the world means their performance has a big impact on the broader U.S. market and global markets as a whole.

Last week the NDX ticked the top of a long-term bull market channel while crossing 10k for the first time, it could mark a major turning point if the index can’t overcome it soon. We recently discussed the NDX dynamic in this article.

Looking at the shorter-term, there is a bullish channel in place since mid-April, that as of yesterday saw the lower parallel tested. A break of the lower parallel (close < 9489) should put the market on its heels. With the NDX having just faced major long-term resistance, the thinking is that there is a fairly high probability that we see the short-term channel broken. The cautious approach to take for would-be shorts would be to wait for the lower parallel to break, and if looking/holding long for another push higher the same threshold can be used to assess the downside.

Nasdaq 100 Weekly Chart (top of channel/10k)

NDX weekly chart

Nasdaq 100 Chart by TradingView

Nasdaq 100 Daily Chart (near-term channel)

NDX daily chart

Nasdaq 100 Chart by TradingView

Resources for Forex Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.