US Markets Today: Looking for a Breather at Support Levels

18 August 2017 (8:43 AM EDT)

U.S. stock futures are showing mild gains, indicating that U.S. markets may seek to take a breather at nearby support levels after a drastic fall yesterday.

I hope you are not paying attention to mainstream media, which is painting yesterday’s drop in U.S. markets as “the end is near” slogan and spreading fear and panic. U.S. markets are in an uptrend and will remain so until Dow Jones drops below 21,000. Even after that, this mega index will remain range bound till 20,372 mark. Take a look at this daily chart, which shows strong support at 21,600 and other support levels after that:

When it comes to intra day trading, I am a fan of hourly charts and these charts are showing two signals that may provide some buying support to Dow Jones. These are:

a) the index has fallen deep into oversold territory, as shown by RSI, and

b) A major support at 21,700. This is how the 1-hour chart looks:

Please remember, these signals may not work if any negative political news comes through as markets are jittery about political situation in the country. On the other hand, any positive political development can also provide much needed relief to markets and in that event, a bounce back from support levels could take place.

In the current scenario, one can hope for a narrow range bound session in U.S. markets today, where major indexes will trade within their intra day support and resistance levels.

Watch those levels and trade with the short term trend, whether it goes up or down.

Good luck, enjoy the session!

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India Markets Today: Volatile, Range Bound Session

18 August 2017 (8:12 AM IST)

As we had been pointing out recently, major Indian indexes Nifty and Bank Nifty are trading in a range created within their 20-Day and 50-Day Moving Averages.

Today, in spite of a gap down opening indicated by SGX Nifty, both these indexes will still remain within their weekly range and turn choppy.

Nifty had a bounce back this week, after seeing a correction last week. Yesterday, this index closed much lower than its higher opening levels, thus creating a negative candlestick on charts and indicating a strong resistance near 9,950 level. It has also made a “lower high” on charts, indicating that the correction may continue in weeks to come.

Despite that, the index still has strong support from 9,850 till 9,600 levels. Therefore, we can assume that Nifty will trade within this range and only if it crosses above the new resistance or support levels, the range will be breached.

For intra day session today, Nifty has pivot at 9,911. Resistance levels for the day come near 9940- 9975 and 10004. Support levels will be near 9,876- 9,847 and 9,811 mark.

Watch how Nifty behaves after a gap down opening, then follow the short term trend.

Good luck, enjoy the session!

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World Markets Today: Volatile, Subdued Session on Wall Street Fall

18 August 2017 (8:12 AM IST)

17 August 2017 (10:42 PM EDT)

U.S. markets ended their overnight session with big losses and as a result,global markets have stared their Asia session with negative numbers.

All major Asian markets are trading down at the time of writing. SGX Nifty is also down by about -40 points, indicating a negative opening in India markets later today.

U.S. and European stock futures are showing feeble green number at this time, which is usual after a big fall, and these markets may turn range bound or trade negative in this session.

Expect global markets to trade in a subdued manner and remain highly volatile as markets face various uncertainties and worries. Currently, there is no positive news for markets to surge ahead so any negative event could trigger some correction.

Watch the support and resistance levels of your local index and trade within those levels.

Good luck, enjoy the session!

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US Markets Today: Volatile, on Fed, Political Worries

17 August 2017 (9:00 AM EDT)

U.S. stock futures have been trading negative through the global session but now, after better labor market data, futures have increased losses.

U.S. markets had been subdued yesterday after President Trump disbanded his powerful business council. Today, Jobless Claims reports have come better than expected, which has added to rate hike worries from the Federal Reserve.

Going by futures, it looks possible that major indexes will open near/ below their previous low levels. Dow Jones is expected to find first support near that level ( 21,970). After that other support levels will come near 21,950 and 21,900.If the index falls below these support level then it will be a negative factor and lower support will come near 21,850.

Likewise S&P 500 has support near 2460- 2458 and 2454.

Watch these levels and trade with the short term trend.

Good luck, enjoy the session!

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India Markets Today: Looking to Consolidate Gains

17 August 2017 (9:02 AM IST)

For those who keep an eye on hourly charts, yesterday’s big bounce back in Nifty and Bank Nifty should not have come as a surprise. As we had been pointing out, these indexes had reached their 50-Day Moving Averages and such levels usually act as a support.

However, the resistance is still intact at 20-Day Moving Average in these indexes and traders should watch this zone for further market trend.

For intra day trading in Nifty, pivot mark is at 9858. Above this mark, resistance could come near 9942- 9988- 10072. The index faces  major resistance near 9950- 9960 which is its 20- Day Moving Average levels..

Support will come near 9812- 9728-9682. The index has major support near  9770.

Watch these levels and trade with the trend.

Good luck, enjoy the session!

 

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World Markets Today: Volatile, Finding Support at Previous Lows

17 August 2017 (9:02 AM IST)

16 August 2017 (11:33 PM EDT)

The Fed’s meeting minute during overnight session in U.S. markets showed a division of opinion about future rate hikes. That was a relief for stocks and good while the Dollar index fell on this disappointing news.

U.S. markets closed with subdued gains on local political upheaval but still, these markets are showing support at current levels and global markets could find solace in that.

Asian markets are trading mostly positive in early trading hours, albeit with small gains. Pre open numbers in India markets are showing a big gap up opening, on good news from the Fed and U.S. and European stock futures are showing improvement after a negative start.

Expect global markets to trade with a choppy and mixed trend where indexes may remain within their individual fibonacci support/ resistance levels.

Watch those levels and trade with the trend. U.S. stock futures could continue to dominate global trend.

Good luck, enjoy the session!

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US Markets Today: Looking to Recover Previous Losses

16 August 2017 (9:04 AM EDT)

U.S. stock futures are indicating a higher opening and major indexes are expected to open near/ above yesterday’s high levels.

European markets started rallying and changed the global trend after reports that the European Central Bank president Mario Draghi will not discuss any policy measures in Jackson Hole conference next Friday. European markets have been worried that new policy tightening measures could be hinted in this conference arranged by the U.S. Federal Reserve.

With the relief rally in European stocks, U.S. stock futures also turned green and now it seems we may see a higher opening in broader U.S. markets today.

Futures are indicating a Dow Jones opening near/ above its yesterday’s high of 22,050. Likewise, S&P 500 is expected to open near previous high of 2470. After the opening, these important indexes will either trade above these high levels and climb up, or become range bound and once again trade within the overall range of previous session.

Considering that the North Korea “fight” bubble has already subsided, U.S. markets may try to recover last week’s losses. It will not be an easy task as major indexes will face previous resistance levels nearby. S&P 500 will have to cross above the resistance zone of 2472-2474. Above this zone, the index will be back in uptrend territory. Similarly, Dow Jones has this resistance zone between 22,050- 22,090. Above this zine, the index will be safe for rejoining its previous uptrend.

So wait and watch how markets open and trade in initial minutes, then join the short term trend.

Good luck, enjoy the session!

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India Markets Today: Choppy, Mixed, Weak Session

16 August 2017 (9:20 AM IST)

Indian markets are trading with mixed pattern, Nifty is positive and Bank Nifty is negative in early trading minutes. Both these index are near their Moving average supports and if that support is breached, in any on these major indexes, than broader markets may see a continuation or last week’s correction.

For intra day trading in Nifty, pivot mark is at 9,788. Resistance comes near higher levels of 9824- 9854-9890 and support is expected near lower levels of 9758- 9721- 9691.

Watch these levels and trade with the intra day trend, which is expected to remain weak on global cues.

Good luck, enjoy the session!

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World Markets Today: Volatile, Mixed Pattern

16 August 2017 (9:09 AM IST)

15 August 2017 (11:39 PM EDT)

U.S. markets traded with a highly volatile and weak pattern and global markets are following that trading pattern in Asia.

Major Asian markets are trading mixed and mostly negative. U.S. and European futures have turned negative after a slight pause in last two sessions. Dow Jones, the trend setting index closed below its major resistance of 22,000 on local political turmoil and global geopolitical strife. Indian markets had opened positive but showing a volatile and mixed trading pattern.

Expect global stock markets to remain anxious and trade with choppiness, mostly in negative zone. Any index that trades positive may see limited gains.

Good luck, enjoy the session!

 

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US Markets Today: Range Bound, Choppy Session Ahead

15 August 2017 (8:28 AM EDT)

U.S. stock futures are higher but it looks more like a range bound and choppy session is in store for U.S. markets today.

For Dow Jones, on hourly charts, resistance levels are stacked up close by at 22,020- 22,040 and 22,056. Similarly, S&P 500 faces resistance near levels of 2468- 2471 and 2474. If these major indexes can cross over these levels then previous up trend will return, otherwise, we may see a continuation of sideways trend in these markets.

Yesterday, Dow Jones had closed below 22,000- its new resistance level and this pattern hinted at a lack of strength in buyers. Although futures are still considerably high, but the trend will depend on how much of these gains translate in actual number at market open.

European markets are positive but trading in a restricted range. The Dollar index has jumped up after better U.S. Retail Sales numbers but stock futures have not shown much enthusiasm as good economic reports will bring back the Fed’s rate hike worries.

Expect a range bound and volatile session in U.S. markets today. Closing levels of major indexes will indicate what kind of trend is developing in these markets after last week’s fall.

Good luck, enjoy the session!

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