Tuesday, September 07, 2010

Market Update - 6 Sep 2010

Dear friends,

As of 3 Sep 2010, Friday, the S& P 500 index is pushing towards the 200DMA. It seems destine to test the resistance level at 1130.


On the other hand, the DOW has touched the 200DMA after closing at 10,447.93 on 3 Sep 2010. Its next level of resistance will be at 10,700.


Regards,

Tony Chai

Friday, September 03, 2010

Market Update - 3 Sep 2010

Dear friends,

On 3 Sep 2010, Friday, The Dow was up 127.83 points (1.2%), to close at 10,447.93. The Big 3's other Indexes also rose. The S & P 500 Index rose 14.41 points (1.3%), to close at 1,104.51, while the Nasdaq Composite Index was up 33.74 points (1.5%), to close 2,233.75.

The broad equity market rose due to better-than-expected employment data released on 3 Sep 2010, Friday - the latest piece of improving news on the U.S. economy.

The Labor Department announced that 67,000 jobs have been added in the private sector in Aug 2010, more than the 44,000 that analysts have forecast. But that's still a far cry from what economists consider to be a healthy level for the economy, where a more comfortable figure would be between 100,000 to 150,000.

Regards,

Tony Chai

Thursday, September 02, 2010

Market Update - 1 Sep 2010

Dear friends,

The US Market surged about 3% on 1 Sep 2010 on the positive note from the ISM (The Institute for Supply Management) index released on 1 Sep 2010 and the Consumer Confidence Data on 30 Aug 2010. On Wednesday, the ISM index rose to 56.3 in Aug 2010 from 55.5 in July 2010. On Tuesday, the Consumer Confidence Data, released by the Conference Board, rose to 53.5 in Aug 2010.

On Wednesday, 1 Sep 2010, the Dow Jones industrial average was up 255 points higher (2.5%) to close at 10,269, the S&P 500 rose an impressive 31 points (3%) to 1,080.

Burger King shares were up $2.41 to close at $18.86 on news of potential buyout. Apple shares rose after unveiling their new line of iPods and the new streaming Apple TV Box that will offer movie and television rentals From Disney, Netflix.


But looking at the S&P 500 chart, you'll see that the index is still below the 30 Day Moving Average (blue line). We should be cautious if the July 2010 low is breached.

The Labor Department will release the more closely followed non-farm payrolls data on Friday, 3 Sep 2010.

Regards,

Tony Chai

Disclaimer : For information purposes only. Not intended as any form of stock recommendation or solicitation.