Here are today's directional views from the global research desks of Trading Central! These are starting points for your own research to identify opportunities that make sense for you.
On Monday, U.S. markets were closed for the Memorial Day holiday.
This morning (Tuesday), U.S. stock index futures opened broadly higher.
On Friday, U.S. technology stocks rallied sharply for a second session, pushing the Nasdaq 100 Index up by 359 points (+2.58%) to 14,298, the highest close since April 2022.
The S&P 500 rose 54 points (+1.30%) to 4,205, and the Dow Jones Industrial Average gained 328 points (+1.00%) to 33,093.
Semiconductors (+4.81%), automobiles (+4.53%), and retailing (+2.9%) stock sectors gained the most.
Nvidia's (NVDA) share price advanced a further 2.54% after rocketing over 24% Thursday.
Marvell Technology (MRVL) soared 32.42%. The semiconductor producer reported better-than-expected quarterly earnings and said sales growth should accelerate in the second half.
Meanwhile, Broadcom Inc (AVGO) surged 11.52%, Micron Technology (MU) jumped 6.21%, Advanced Micro Devices (AMD) rose 5.55%, and Intel (INTC) rebounded 5.84%.
Tesla (TSLA) rose 4.72%, and Ford Motor (F) climbed 6.24%. Both companies reached an agreement such that Ford electric-vehicles could be charged at more than 12,000 Tesla Superchargers across the U.S. and Canada.
Workday (WDAY) gained 10.01%. The enterprise cloud applications provider's quarterly earnings exceeded expectations.
Gap (GPS) jumped 12.4%. The apparel retailer announced a strong improvement in quarterly margins.
Also, Costco Wholesale (COST) rose 4.26%.
Regarding U.S. economic data, the core personal consumption expenditure price growth ticked up to 4.7% on year in April (vs 4.5% expected). Durable goods orders rose 1.1% on month in April (vs -1.1% expected).
The U.S. 10-year Treasury yield eased 1.9 basis points to 3.798%.
European stocks also closed higher. The DAX 40 rose 1.20%, the CAC 40 gained 1.24%, and the FTSE 100 was up 0.74%.
U.S. WTI crude futures increased $1.00 to $72.80 a barrel.
Gold price added $5 to $1,946 an ounce.
In late Saturday, U.S. President Joe Biden and House Speaker Kevin McCarthy reached a deal to raise the nation’s debt ceiling, which could be a bullish factor for the stock market.
On Monday, European stocks closed mostly lower on Monday. The DAX 40 fell 0.20%, and the CAC 40 was down 0.21%. The U.K. market was closed for a bank holiday.
U.S. WTI crude futures settled flat at $73.04 a barrel.
Gold price dipped $3 to $1,943 an ounce.
Market Wrap: Forex
The U.S. dollar index remained stable at levels around 104.20.
USD/JPY hit a six-month high of 140.91 before retreating to 140.42. This morning, Japan's data showed that the jobless rate fell to 2.6% in April (vs 2.8% expected).
EUR/USD dropped 15 pips to 1.0708, while GBP/USD gained 12 pips to 1.2356.
AUD/USD added 22 pips to 0.6539.
USD/CHF declined 14 pips to 0.9043, and USD/CAD was down 25 pips to 1.3590.
Bitcoin fell back to levels below $28,000.
Gold Intraday: the downside prevails.
Pivot:
1951.00
Our preference:
Short positions below 1951.00 with targets at 1937.00 & 1931.00 in extension.
Alternative scenario:
Above 1951.00 look for further upside with 1957.00 & 1964.00 as targets.
Comment:
The RSI calls for a new downleg.
Crude Oil (WTI) (N3) Intraday: intraday support around 72.45.
72.45
Our preference:
Long positions above 72.45 with targets at 73.50 & 74.00 in extension.
Alternative scenario:
Below 72.45 look for further downside with 72.00 & 71.50 as targets.
Comment:
The next resistances are at 73.50 and then at 74.00.
EUR/USD Intraday: the downside prevails.
1.0730
Our preference:
Short positions below 1.0730 with targets at 1.0690 & 1.0675 in extension.
Alternative scenario:
Above 1.0730 look for further upside with 1.0745 & 1.0760 as targets.
Comment:
The RSI calls for a new downleg.
Bitcoin / Dollar intraday: the downside prevails as long as 27970 is resistance
Our pivot point is at 27970.
Our preference:
The downside prevails as long as 27970 is the resistance.
Alternative scenario:
Above 27970, look for 28330 and 28540.
Comment:
The RSI is below 50. The MACD is negative and below its signal line. The configuration is negative. Moreover, the price is trading under both its 20 and 50 period moving average (respectively at 27773 and 27884).
Hang Seng (HKFE) (HK50) Intraday: the downside prevails.
Pivot:
18680.00
Our preference:
Short positions below 18680.00 with targets at 18380.00 & 18200.00 in extension.
Alternative scenario:
Above 18680.00 look for further upside with 18900.00 & 19080.00 as targets.
Comment:
The RSI is below its neutrality area at 50%.
*VSTAR.com is not a financial advisor and not responsible for any damages or losses arising from any use of this information.
