Market analysis, insights and trading ideas on various markets and products!

Spencer Li

Weekly Market Wrap: Will We See More Rate Hikes Next Week?

Thumbnail banner weekly market wrap x3

Thumbnail banner weekly market wrap x3

For subscribers of our “Daily Trading Signals”, we now also include a “Weekly Market Report”, where we provide a weekly deep-dive on the market, including fundamentals, technicals, economics, and portfolio management:

Click here for last week’s market report (17 July 2023)
Click here to subscribe for the latest market report (24 July 2023)
Click here to see the archives of all our past market reports

Market Recap & Upcoming Week

Last week was marked by significant geopolitical and financial events that could have substantial implications in various sectors. On the international political front, Moscow’s withdrawal from humanitarian cooperation at the United Nations and its decision to shut down a Syrian aid route could raise concerns over regional stability.

Meanwhile, in the tech sector, Tesla finally started production of the much-anticipated Cybertruck at its Texas factory. For its earnings, Tesla reported a 20% increase in profit, attributing it to price cuts and higher deliveries, but its share price took a beating. Notably, Ford also slashed the price of its F-150 Lightning Electric Truck by up to $10,000.

The UK took a significant step towards globalization by joining the £12 trillion Indo-Pacific Trade Bloc.

In terms of financial markets, China’s debt sector has been caught in ambiguity and financial squeeze, and the global wheat prices are surging due to Russia’s withdrawal from the grain deal.

ARK Investment Management’s Cathie Wood decreased her stake in Twitter by 47%, but still remains optimistic about the company’s future prospects. In the corporate world, tech giants Microsoft and Meta have collaborated to offer new AI software for businesses. Netflix’s crackdown on password sharing has led to a surge in new subscribers, reflecting changes in consumer behavior.

Elsewhere, hiring patterns have indicated a possible looming recession, even as companies continue to recruit heavily. Notably, the semiconductor industry is experiencing a downturn, with TSMC reporting a profit drop for the first time in four years.

On the monetary front, Turkey raised its key interest rate to combat soaring inflation, while UK borrowing costs decreased following lower-than-expected inflation, making a Bank of England interest rate hike less likely in August.

As we step into the next week, the major focus will be the two-day policy meeting convened by Federal Reserve officials, commencing on Tuesday. The highly anticipated interest rate decision, due on Wednesday, will potentially impact financial markets significantly.

Concurrently, earnings season is escalating with a vast array of major corporations slated to release their reports. Giants from the tech industry like Microsoft, Meta Platforms, and Google’s parent company, Alphabet, will be in the limelight, along with influential entities like Visa, Mastercard, Texas Instruments, Coca Cola Company, McDonald’s, Boeing, AT&T, Verizon, Ford Motor Company, Chevron, and ExxonMobil.

The economic calendar of the week remains densely packed. Thursday will see the unveiling of the advance estimate for the second-quarter gross domestic product (GDP). To follow, on Friday, we have the release of the Personal Consumption Expenditures (PCE) Price Index, the Fed’s preferred inflation measure, which will provide insights into the current inflation scenario.

Moreover, the latest updates on home prices, including new and pending home sales for June, are also on the schedule, which could bring further attention to the state of the housing market.

Daily Trading Signals (Highlights)

We cover 3 main markets with a total of 200+ counters, so we will never run out of trading opportunities:

By covering a broad range of markets, we can focus our attention (and capital) on whichever market currently gives the best returns.

Subscribe for real-time alerts and weekly reports:
👉🏻 https://synapsetrading.com/daily-trading-signals

 

Trading Signals CADCHF 190723

CADCHF – Following up on this trade, prices have hit our TP with 268 pips profit! Congrats to those who took this trade! 💪🔥💰

 

Trading Signals NZDCAD 190723

NZDCAD – Trade got triggered, great shorting opportunity near the top of the trend channel.

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Spencer Li

Weekly Market Wrap: Stocks Climb After Inflation Slows Down!

Thumbnail banner weekly market wrap x3

Thumbnail banner weekly market wrap x3

 

For subscribers of our “Daily Trading Signals”, we now also include a “Weekly Market Report”, where we provide a weekly deep-dive on the market, including fundamentals, technicals, economics, and portfolio management:

Click here for last week’s market report (10 July 2023)
Click here to subscribe for the latest market report (17 July 2023)
Click here to see the archives of all our past market reports

 

Market Recap & Upcoming Week

Last week, market watchers were eagerly anticipating the release of US inflation data, which was expected to provide a much-needed direction for future monetary policy decisions. Experts predicted a notable slowdown in both headline and core inflation, with a projected modest rise of 0.2% from May to June.

This projection represented the smallest potential increase in core inflation since last year and signified a potential turning point for policymakers as they grapple with managing rising costs against the Federal Reserve’s 2% target. Despite the anticipated inflation slowdown, the current rate still indicated a possible resumption of interest-rate hikes by the Federal Reserve.

In addition to the inflation data, the resilience of the economy was put under the spotlight last week, as recent jobs reports showcased solid wage growth and a healthy yet slightly lower than expected payroll increase.

The Federal Reserve’s track record of ten consecutive meetings with interest rate hikes led many to expect a continuation of this trend in the upcoming meeting on July 25-26. However, the potential easing in inflation data could have led to a pause in interest rate hikes, adding another layer of complexity to the economic forecast for the rest of the year.

The earnings season is set to intensify in the week ahead, with several heavy hitters from various industries slated to release their financial reports.

Investors will be keeping a close eye on results from major institutions such as Bank of America, Morgan Stanley, and Goldman Sachs, along with powerhouse corporations including Lockheed Martin, Tesla, Netflix, IBM, Johnson & Johnson, and United Airlines.

The market will be keen to see how these giants have fared amid the ongoing economic conditions, and the updates could trigger significant market movements. Furthermore, the financial health and outlook of these influential companies can provide invaluable insights into the broader economic landscape and future trends.

Economic data releases in the upcoming week promise to offer a wealth of information on the global economy’s health.

In the U.S., the focus will be on the retail sales data for June released by the Census Bureau, shedding light on consumer spending patterns amid fluctuating inflation and employment dynamics. Additionally, several housing market indicators, including building permits, housing starts, and existing home sales for June, along with the NAHB’s Housing Market Index, will provide insight into the state of the U.S. real estate market.

International attention will be directed towards the latest inflation readings from the U.K., eurozone, and Japan, which will be closely monitored by investors and policymakers for signs of inflationary trends outside the U.S.

Daily Trading Signals (Highlights)

We cover 3 main markets with a total of 200+ counters, so we will never run out of trading opportunities:

By covering a broad range of markets, we can focus our attention (and capital) on whichever market currently gives the best returns.

Subscribe for real-time alerts and weekly reports:
👉🏻 https://synapsetrading.com/daily-trading-signals

 

Trading Signals GBPUSD 120723

GBPUSD – Following up on this, we are up by 700+ pips profit, and very near to our TP!

Congrats to all those who took this trade! 💰🔥💪🏻

 

Trading Signals USDCHF 120723

USDCHF – Following up on this, it has hit and even exceed our 2nd TP! 💰🔥💪🏻

Congrats to those who held on!

 

Trading Signals PLTR 120723
Palantir (PLTR) – Following up from the video, prices have rebounded off the strong support!

 

Trading Signals USDCAD 120723

USDCAD – Following up on this, prices have started to move towards our TP. Will continue to hold and monitor.

 

Trading Signals USDSGD 120723
USDSGD – Unfortunately, prices did not trigger the upside breakout, and instead broke to the downside. This is why patience is important before entering a trade.

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Spencer Li

Weekly Market Wrap: NFP Jobs Data Weakening?

Thumbnail banner weekly market wrap x3

Thumbnail banner weekly market wrap x3

 

For subscribers of our “Daily Trading Signals”, we now also include a “Weekly Market Report”, where we provide a weekly deep-dive on the market, including fundamentals, technicals, economics, and portfolio management:

Click here for last week’s market report (03 July 2023)
Click here to subscribe for the latest market report (10 July 2023)
Click here to see the archives of all our past market reports

 

Market Recap & Upcoming Week

The U.S. labor market and inflation rates are showing signs of slowing down, albeit not stagnating, according to the latest data from the Labor Department.

In June’s NFP Jobs report, 209,000 jobs were added to the economy, down from May’s figure of 306,000, and the unemployment rate decreased to 3.6%. This performance exceeded initial expectations set by the Federal Reserve and Wall Street.

In addition, persistent labor demand has led to lowered predictions for the unemployment rate for the end of 2023, particularly in sectors affected by the pandemic.

On the other hand, inflation rates continue to exceed predictions.

The Fed’s Q4 2023 inflation forecast, excluding food and energy, has increased from 3.5% to 3.9%, suggesting possible rate hikes in future meetings. The key question now revolves around whether inflation will slow down faster than the job market, thereby influencing the future trajectory of monetary policy.

If inflation cools off sufficiently, the Fed could stop rate hikes, but if it remains high, additional rate hikes might be necessary to maintain the balance between employment and inflation.

The upcoming week is set to be packed with crucial financial information as earnings season gets underway.

Reports from some of the world’s most prominent financial institutions such as JPMorgan Chase, Wells Fargo, Citigroup, and BlackRock are eagerly awaited. Additionally, key players from other industries, such as PepsiCo, Delta Air Lines, and UnitedHealth Group, will also be disclosing their earnings reports.

These reports will likely provide insight into the performance and future direction of these companies, as well as offer a sense of the current state of the economy.

Alongside these company reports, crucial economic indicators will be announced.

On Wednesday, the June Consumer Price Index (CPI) is scheduled for release, followed by the Producer Price Index (PPI) on Thursday. Both of these will offer valuable information about the current state of inflation in the economy.

To round out the week, the University of Michigan will release the preliminary reading of its Consumer Sentiment Index (MCSI) for July on Friday. This metric will provide a valuable measure of consumer confidence, giving a timely snapshot of the public’s overall economic sentiment.

 

Daily Trading Signals (Highlights)

We cover 3 main markets with a total of 200+ counters, so we will never run out of trading opportunities:

By covering a broad range of markets, we can focus our attention (and capital) on whichever market currently gives the best returns.

Subscribe for real-time alerts and weekly reports:
👉🏻 https://synapsetrading.com/daily-trading-signals

 

Trading Signals AUDNZD 050823

AUDNZD – Prices continuing lower for our short positions, with 200+ pips profit in the money! 💰🔥💪🏻

 

Trading Signals AUDJPY 050823

AUDJPY – Following up from the weekly videos, after hitting our first target, we have now extended our TP to a more ambitious target! 💰🔥💪🏻

 

Trading Signals BTCUSD 050823

Bitcoin (BTCUSD) – Following up, prices are now testing prior swing highs, and there is a good chance of a new breakout soon.

We have adjusted a further price target to reflect more upsize, as we are now in the money. 💰💪🏻🔥

 

Trading Signals USDJPY 050823

USDJPY – Following up on this long trade, we are now 600+ pips profit in the money! Congrats to those who took this trade! 💰🔥💪🏻

We adjusted the target upwards since the price is so bullish, but it is also a good idea to take some profits first.

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Spencer Li

Weekly Market Wrap: Stocks End First Half of 2023 on a High Note!

Thumbnail banner weekly market wrap x3

Thumbnail banner weekly market wrap x3

 

For subscribers of our “Daily Trading Signals”, we now also include a “Weekly Market Report”, where we provide a weekly deep-dive on the market, including fundamentals, technicals, economics, and portfolio management:

Click here for last week’s market report (26 June 2023)
Click here to subscribe for the latest market report (03 July 2023)
Click here to see the archives of all our past market reports

 

Market Recap & Upcoming Week

Last week, investors demonstrated increasing optimism as bullish options bets surged on stocks across various sectors, including AI stocks, small-scale economically-sensitive companies, and regional banks.

This positive sentiment was reflected in the significant market rallies seen in 2023, with the S&P 500 and Nasdaq Composite climbing 13% and 29% respectively. Despite a brief pause in the rally after Federal Reserve officials reiterated their intention to continue raising interest rates, traders remained bullish, with the fear of missing out driving investors to participate in potential future gains.

In AI news, Baidu Inc., China’s leading search engine, claimed that its AI service, Ernie 3.5, outperformed OpenAI’s GPT-3.5 chatbot in general abilities and exceeded GPT-4’s performance in several Chinese-language tasks. Baidu plans to integrate Ernie Bot across various business areas and has earmarked a $140 million venture fund for investing in AI startups.

Meanwhile, the Biden administration is considering imposing further limitations on the export of AI chips to China, potentially preventing companies like Nvidia from shipping chips to China without prior licensing. Lastly, Oracle Corp is investing heavily in Nvidia chips and CPUs from Ampere Computing and AMD as it seeks to expand its cloud computing services and compete in the fast-growing cloud sector.

In the upcoming week, market participants should brace for a flurry of significant economic events that could potentially trigger increased market volatility. The week kicks off with a holiday-shortened trading schedule due to the U.S. Independence Day, which could result in thinner trading volumes.

However, the focus will quickly shift to crucial labor market updates, including the Job Openings and Labor Turnover Survey (JOLTS) and ADP’s National Employment Report, both slated for release on Thursday. These reports will provide valuable insights into the state of the U.S. labor market, setting the stage for Friday’s nonfarm payrolls report, which will track job growth in June.

In addition to labor market data, investors should also keep an eye on the Purchasing Managers’ Index (PMI) readings from S&P Global and the Institute for Supply Management (ISM). These indices provide a gauge of the economic health of the manufacturing sector, which is a key driver of economic growth.

Furthermore, the Federal Reserve will release the minutes from its latest policy meeting, offering deeper insights into the central bank’s views on the economy and potential future policy shifts. Given the current market sensitivity to changes in monetary policy, these minutes will be closely scrutinized for any hints of changes in the Fed’s stance.

 

Daily Trading Signals (Highlights)

We cover 3 main markets with a total of 200+ counters, so we will never run out of trading opportunities:

By covering a broad range of markets, we can focus our attention (and capital) on whichever market currently gives the best returns.

Subscribe for real-time alerts and weekly reports:
👉🏻 https://synapsetrading.com/daily-trading-signals

 

Trading Signals AUDNZD 290623

AUDNZD – Trade moving as planned, halfway to the profit target. 🔥

 

Trading Signals NZDUSD 290623

NZDUSD – Prices are starting to head down again.

Trading Signals C3 ai 280623

C3.ai (AI) – This US tech stock is currently resting on strong support, offering a good RR ratio.

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Spencer Li

Weekly Market Wrap: Small Correction for Tech Stocks

Thumbnail banner weekly market wrap x3

Thumbnail banner weekly market wrap x3

 

For subscribers of our “Daily Trading Signals”, we now also include a “Weekly Market Report”, where we provide a weekly deep-dive on the market, including fundamentals, technicals, economics, and portfolio management:

Click here for last week’s market report (19 June 2023)
Click here to subscribe for the latest market report (26 June 2023)
Click here to see the archives of all our past market reports

Market Recap & Upcoming Week

Last week was marked by significant shifts in the global economy, with a particular focus on the energy sector, housing markets, and technology giants.

Siemens Energy’s shares plummeted due to concerns about its wind turbine operations, with costs expected to exceed 1 billion euros.

Meanwhile, the U.S. housing market experienced its most significant drop in over a decade due to higher interest rates.

In the tech sector, Amazon faced a lawsuit from the FTC over alleged “manipulative” tactics used to enroll users into its Prime subscription service.

The U.S. also increased its surveillance of Chinese telecom giants ZTE and Huawei, suspecting them of aiding Beijing’s eavesdropping capabilities in Cuba.

In Europe, business activity experienced a sharp decrease in June, largely due to weakening demand for services, suggesting that the global economy may be slowing down. Germany, once the powerhouse of Europe’s economy, is now seen as a factor dragging it down due to a combination of short-term and structural issues.

European business confidence in China also hit a record low due to China’s sluggish economy and ongoing U.S.-China trade tensions. However, the EU is proposing a $55 billion economic support package for Ukraine, demonstrating continued support for Kyiv.

In the tech sector, European ride-hailing company Bolt announced plans to deliver food using self-driving robots, and the tiny Pacific island nation of Palau introduced a “Digital Residency” program, potentially providing a workaround for bans on cryptocurrency services.

As we approach the last trading week of the month, quarter, and first half of the year, all eyes will be on the S&P 500, which has seen a robust growth of 13.8% in 2023.

Given historical trends, there’s an 82% chance that the index will end the year on a high note if it’s up by at least 10% by the end of June, according to research from the Carson Group. This could potentially translate into an average gain of 7.7%.

Additionally, the earnings reports from major companies like Carnival Cruise Line, Walgreens, Micron Technology, General Mills, and Nike will be crucial to watch, as they could provide further insights into the health of various sectors and the overall economy.

Next week will also bring a slew of economic data that could influence market trends.

Updates on the housing market, including April home prices and May new home sales, will provide a snapshot of the real estate sector’s performance. The Bureau of Economic Analysis (BEA) is set to release the Personal Consumption Expenditures (PCE) Price Index on Friday, which is the Federal Reserve’s preferred measure of inflation.

Other key data releases include consumer sentiment readings from the Conference Board and University of Michigan, the final estimate for the first-quarter GDP, and inflation and unemployment figures for the eurozone. These data points will be critical in shaping investor sentiment and could potentially impact market movements.

Daily Trading Signals (Highlights)

We cover 3 main markets with a total of 200+ counters, so we will never run out of trading opportunities:

By covering a broad range of markets, we can focus our attention (and capital) on whichever market currently gives the best returns.

Subscribe for real-time alerts and weekly reports:
👉🏻 https://synapsetrading.com/daily-trading-signals

 

Trading Signals USDJPY 180623

USDJPY – After a pullback, prices are resuming the uptrend. Continue holding for more profits! 💪

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