NASDAQ 100, NIKKEI 225, ASX 200 INDEX VIEWS:
- Dow Jones, S&P 500 and Nasdaq 100 indices closed at -0.19%, + 0.13% and + 0.51%, respectively
- The US dollar prolonging amid rising constraining expectations, better data on the unemployed
- The Asia-Pacific markets are open to the higher, but sentiment is fragile
Narrowing, US Dollar, Unemployment Claims, Chinese Stocks Decline, Asia-Pacific Open:
Shares of Wall Street closed mixed on Thursday as investors assessed persistent viral issues and the prospect of a reduction in central bank stimulus. The FOMC meeting minutespointed to the start of a possible reducing incentive by the end of this year, encouraging profits. The DXY US Dollar the index rose to 93.56 on the fourth day, weighing commodity prices.
The Nasdaq Index 100 increased by 0.51% to 14,933.94, increased NVIDIA (+ 3.98%), Microsoft (+ 2.08%) and ASML (+ 1.17%). The worldwide spread of the Delta variant may lead to higher costs for digital equipment and network services, semiconductors and software companies.
Asia-Pacific markets may continue to lag behind their peers due to viral problems and the expansion of the private sector in mainland China. US-listed Chinese stocks fell further, including Tencent (-6.05%), Alibaba (-6.85%) and NMe (-6.61%). Mainland and Hong Kong equities appear to be consolidating further until the regulatory sky is clearer.
Nasdaq 100 stock top 10 returns 19-08-2021
Source: Bloomberg, DailyFX
In the meantime, once a week initial USA unemployed claims data exceeded expectations. About 348,000 unemployment benefits were claimed last week, compared to an estimate of 363,000. Last week’s figure was changed to just under 377,000 from 487,000. Unemployment claims have declined in recent months, highlighting the resilience of the labor market to the virus.
US Weekly Unemployment Claims
Source: Bloomberg, DailyFX
Asia-Pacific markets see that Thursday opens mixed. Futures in Japan, Australia, Hong Kong, South Korea, Taiwan, Singapore and India are in the region green, while located in mainland China, Malaysia and Thailand Red.
Nasdaq 100 Index Technical Analysis
The Nasdaq 100 index dived below the 20-day SMA line and is likely to have entered a technical withdrawal. Instant support is available at 14,809 – 100% Fibonacci extension. Exceeding this level may open the door to further losses by observing 14,415 – 78.6% Fibonacci extension. The bear’s MACD indicator indicates that the downward momentum is increasing.
Nasdaq 100 Index – Everyday Diagram
Nikkei 225 Technical analysis of the index:
The Nikkei 225 index will remain in the declining channel formed since February. The floor and ceiling of the duct can be seen as levels of immediate support and resistance, respectively. The general trend is still bear-biased, as suggested by the downward-sloping SMA lines. The MACD is moving below the neutral line, suggesting that the rate of increase may be weak.
Index Nikkei 225 – Everyday Diagram
ASX 200 Technical analysis of the index:
The ASX 200 index broke below the key support level of 7500 – a 200% Fibonacci extension. This can open the door to further negative opportunities by watching the 7340 support. The MACD indicator formed a sharp intersection and fell lower, indicating that the downward momentum has begun to bear.
Index ASX 200 – daily schedule
– Wrote DailyFX.com strategist Margaret Yang
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