Global stock markets reach record highs once again as U.S inflation data indicated CPI was not rising as expected which eased bond yield after the news sending markets higher.
The U.S earnings season starts this week with some of the major investment banks, like J.P Morgan and Goldman Sachs set to beat analysts expectations by some margin.
The big news for Wednesday is the listing of Coinbase Global Inc, the largest U.S crypto exchange will make its debut via direct listing on the Nasdaq today. This will undoubtedly be very good news for Bitcoin which has seen record levels this week already.
Here is what’s expected this week:
The Wall Street 30 Technical Analysis
New record highs and our target price was reached at 33765 after price remained above our 33250-support level of interest while fundamentals and sentiment drove prices higher.
The price action on the 4H Wall Street 30 chart has been trending higher since the flag breakout at the end of March and might see some profit taking in the future.
The target level is currently acting as resistance to price which will be watched closely for a move lower to give traders an entry towards our new possible target price at 34231.
- The price action needs to cross and stay above the 33765 level to negate a short-term downturn to our level of interest (blue rectangle) around the 33370-price level. This support level might be good to take note of for traders looking for better entries to go long.
- The 50-day SMA (blue line) is still below the price action on the 4H chart which supports higher prices and could act as support to the price action.
- The Relative Strength Index (RSI) is above the 50 mark and trending sideways.
Chart Source: Wall Street 4H Timeframe - GT247 MT5 Trading Platform
Trading term of the day
“A trend is the overall direction of a market or an asset's price. In technical analysis, trends are identified by trendlines or price action that highlight when the price is making higher swing highs and higher swing lows for an uptrend, or lower swing lows and lower swing highs for a downtrend.” - Investopedia
Take note: The outlook and levels might change as this outlook is released during the current days (Wednesday the 14th of April 2021) U.S Market open.
Sources – MetaTrader5, Reuters, Investopedia
Barry Dumas | Market Analyst at GT247.com
Barry has 12 years experience in the financial markets. He enjoys educating clients on trading / investing and providing punchy technical analysis on securities. He currently holds a Wealth Management qualification and is studying towards becoming a Chartered Market Technician® (CMT) designation holder.
Any opinions, news, research, reports, analyses, prices, or other information contained within this research is provided by Barry Dumas, Market Analyst at GT247 (Pty) Ltd t/a GT247.com (“GT247.com”) as general market commentary, and does not constitute investment advice for the purposes of the Financial Advisory and Intermediary Services Act, 2002. GT247.com does not warrant the correctness, accuracy, timeliness, reliability or completeness of any information which we receive from third party data providers. You must rely solely upon your own judgment in all aspects of your trading decisions and all trades are made at your own risk. GT247.com and any of its employees will not accept any liability for any direct or indirect loss or damage, including without limitation, any loss of profit, which may arise directly or indirectly from use of or reliance on the market commentary. The content contained within is subject to change at any time without notice.