Broke through the 1320 level will send the index to trade all the way down to 1305 – 1300 levels as per mentioned previously. With the overnight tumbled in the Dow, will the cash resume its drop today? In our view, as long as the 1320 level not manage to be regained immediately, the chances for the cash to face with free fall till the 1300 level is very high as the 1320 level is the important psychological support level. With the current level, the index is facing with high downside risk as the Bollinger middle band and the MA 50 & MA 100 levels maybe successfully taken out by the bears.
Next, will this round of drop be a major correction or minor correction? We are in the view that if the 1300 level being taken out convincingly, then the correction will be major as the index will have higher chances to drop below the 1250 level.
Risk taker investors can accumulate short position on strength for mid to long term trading. The support for the day is seen at 1310 – 1305 levels and the resistance is seen at 1325 level.
US MARKET
268 points of sharp dropped suffered by the Dow after the consumer confidence slump and the concern over the growth in China. With the nearly 300 points dropped, the bears are successfully taken over bulls' position and further slide in the index is expected. Technical outlook remained negative with the index trading way below the MA 200 level. The support is seen at 9800 level and the resistance is seen at 10000 level.
[Reminder: US will release Employment Change (Survey 60K Vs Prior 55K) later tonight.]
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The information herein was obtained or derived from the source that we believed are reliable.No liability can be accepted for any loss that may arise from the use of this report.All opinions and estimates included in this report constitutes our judgement as of this date and are subject to change without notice.
Risk taker investors can accumulate short position on strength for mid to long term trading. The support for the day is seen at 1310 – 1305 levels and the resistance is seen at 1325 level.
US MARKET
268 points of sharp dropped suffered by the Dow after the consumer confidence slump and the concern over the growth in China. With the nearly 300 points dropped, the bears are successfully taken over bulls' position and further slide in the index is expected. Technical outlook remained negative with the index trading way below the MA 200 level. The support is seen at 9800 level and the resistance is seen at 10000 level.
[Reminder: US will release Employment Change (Survey 60K Vs Prior 55K) later tonight.]
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The information herein was obtained or derived from the source that we believed are reliable.No liability can be accepted for any loss that may arise from the use of this report.All opinions and estimates included in this report constitutes our judgement as of this date and are subject to change without notice.
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