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Stocks down trending, trading at key support

 


Thoughts on Week Ahead:
Week 30 Oct 2023

Although the US 3Q23 GDP report improved and earnings were satisfactory, the stock markets experienced a decline. Notably, major banks are raising funds despite strong earnings, highlighting the need for caution.

At present, the S&P 500 is hovering within the 4,080-4,150 range, a crucial support zone. It is essential to monitor any indications of increased demand, as this level could present an opportunity for short-term trading. However, if there is a lack of buyer activity, there is a risk of the index experiencing further decline. A breakthrough above the downtrend line (Blue) would indicate a positive technical outlook.

The spot gold price has surpassed the US$2,000/oz mark due to geopolitical concerns. Gold could to trade towards US$2,400, provided that price remains above US$1,900.

Looking ahead to the upcoming week, the US FOMC announcement has the potential to trigger significant movements in the stock markets once again. Our focus will be on identifying trading opportunities in the gold sector and swing trades for stocks exhibiting resilience at key support levels.

News Links:
https://www.forbes.com/sites/bill_stone/2023/10/29/stocks-fall-despite-better-earnings-and-gdp-growth/?sh=4fa4217b1a4c

https://www.bloomberg.com/news/articles/2023-07-17/wall-street-banks-kick-off-high-grade-bond-sales-post-earnings?sref=HeOgpUGN

Headlines for Week Ahead:
US Corp Earnings (AAPL, AMD, MCD, QCOM, Foxconn, CAT, AIG, SBUX, BOC)
SG Corp Earnings (Great Eastern)
US FOMC, Non-Farm Payroll, ISM Mfg & Non-mfg
China Oct PMI
SG PMI, Retail Sales



Disclaimers apply


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