Regardless of the asset class, I still feel the US500 is central to the thesis around broad risk and sentiment – On the move today, we’ve broken the 50-day MA today, but the 61.8% fibo and I-cloud looms large and there is much wood to chop here. This could hold a lot of insights into where global markets are going to head in the near-term. On the daily time frame, on this current set-up and flow, there is not much to suggest being positioned any other way than long right now – I am sure many will disagree.
A number of factors are at play here, but at its heart we’ve see Trump announcing the Administrations guidelines for “opening Up America Again” – https://assets.bwbx.io/documents/users/iqjWHBFdfxIU/rYDX4WWYX9Qg/v0 . However, we’ve also seen good news at a corporate level, with news flow from Gilead, Apple and Boeing, pushing stocks higher in the after-market. Volumes are hardly emphatic today, but the feel into the weekend is positive. We’ve seen China’s Q1 GDP come in at -6.8% YoY, slightly worse than the -6% expected, but this is considered old news for ther forward-looking markets.
As we can see the higher frequency data has shown some improvement from the February numbers, but there has been no limited reaction to the data.
US earnings
One aspect I have been focused on is US earnings and what the corporate’s are going to reveal. I have put some video’s together on the earnings season and why traders of all markets/instruments should be interested – You’ll find it here – https://pepperstone.com/au/market-analysis/us-earnings-season-q1-2020
You’ll see the topics:
- Introduction to US earnings season
- How to master US earnings season with Pepperstone
- 5 key focal points to look out for
- What to expect from US earning season?
- The road to earnings- the feel of the markets
Earnings pedigree:
This chart I complied may be of interest as well, as it shows the pedigree around earnings for some of the more influential names that I expect either to get real interest from clients or even move the broader market. If you’re a client and have a stock you want added, just reach out.
(Click to enlarge)
Webinar alert:
I will also be holding a webinar with the traders at FX Evolution on Wednesday at 7pm AEST in which we try and make sense of the market- The focus is:
‘ How to day trade forex with cross currency analysis’
LIVE cross-currency analysis and charting using the US Dollar Index
A dive into major currency pairs AUDUSD, EURUSD, GBPUSD and more
How to identify a trend bias and develop your system during times of volatility
Live Q&A with Pepperstone’s Head of Research Chris Weston and the FX Evolution team
Sign up for it here, but I hope it should give some good insights into the current state of play in the markets, with some trading education/strategy along the way – https://register.gotowebinar.com/register/5225334859257589515?source=DFX
Have a great weekend
