U.S. Stocks
Fundamental Analysis:
The Fed’s latest move to raise interest rates is expected to keep markets on edge in the coming week, which will be shortened by the holidays.
Wall Street will be closed on Monday as markets focus on Fed Chairman Jerome Powell’s speech this week. Last week, the S&P 500 posted its worst one-week performance since March 2020, falling 5.8% following Monday’s drop into a bear market, marking the benchmark index’s 10th decline in the past 11 weeks.
The Federal Reserve raised its benchmark interest rate by 75 basis points last week, the largest increase in nearly 30 years. Fed Chairman Jerome Powell also hinted at more aggressive tightening measures ahead as policymakers ramp up efforts to fight inflation.
On Wall Street, the move sparked a wave of recession forecasts and sent markets into turmoil. The Dow Jones Industrial Average fell nearly 5% last week, falling below 30,000 at one point. The Nasdaq closed higher on Friday, narrowing its losses, but still fell during the week, down about 5%.
Technical Analysis:
(Dow 30, 1-hour chart)
Execution Insight:
The Dow focuses on the 29767-line today. If the Dow runs steadily below the 29767-line, it will pay attention to the support strength of the 29204 and 28809 positions. If the Dow runs stably above the 29767-line, it will pay attention to the suppression strength of the 30350 and 31000 positions.
Hong Kong Stocks
Fundamental Analysis:
On Hong Kong stocks, the Hang Seng Index (HSI) went higher and turned red up 0.06%, returning to 21,000 points.
Country Garden Services Holdings Company Limited (6098.HK) soared more than 9%, leading the blue chips. Country Garden Holdings Company Limited (2007.HK) rose more than 7%, China Overseas Land & Investment Limited (0688.HK), China Resources Land Limited (1109.HK) also rose more than 6%, and Longfor Group Holdings Limited (0960.HK) rose 5%.
Technical Analysis:
(HK50, 1-hour chart)
Execution Insight:
HK50 focuses on the 20614-line today. If HK50 can run stably above the 20614-line, then pay attention to the suppression strength of the 21450 and 22127 positions. If the HK50 runs below the 20614-line, then pay attention to the support strength of the 19517 and 18606 positions.
FTSE China A50 Index
Technical Analysis:
(FTSE China A50, 1-hour chart)
Execution Insight:
FTSE China A50 focuses on the 14352-line today. If the A50 runs stably below the 14352-line, it will pay attention to the support strength of the two positions of 13970 and 13544. If the A50 runs above the 14352-line, it will open up further upward space. At that time, pay attention to the two positions of 14695 and 14985.
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