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Now that the S&P 500 is at the crucial 200-day moving average level, will it be able to break though and make new highs?

What are some of the bullish and bearish catalysts for the stock market going forward?

Also, check out our Telegram poll (800+ votes) to see which direction people expect the market to go in the next 6 months.

Join our FREE Telegram channel for daily trading tips:
👉🏻 https://t.me/synapsetrading

 

Market Overview

There are only a few products that are trending strongly, while most markets are in a sideways range.

This means that we should be expecting to take shorter trades (lower RR), or go down to smaller timeframes to pinpoint entries and exits.

 

The 200-Day Moving Average

Traditionally, the 200-day moving average serves as a good gauge of the market’s long-term trend.

If prices are above the 200-day moving average, then it is bullish, and if prices are below the 200-day moving average, then it is bearish.

Now, we see the S&P 500 poised exactly at the 200-day moving average.

Will it be able to clear the hurdle?

New Highs or New Lows?

Recently, I did a market poll on my Telegram channel (check it out if you want to take part, or see the latest results), and the results are as follows:

Interestingly, about 40% are bullish, compared to 30% who are bearish, but the difference is not much.

And if you look at it another way, about 60% think that the market won’t be making new highs (new lows or sideways).

Here are some bullish and bearish catalysts I could think of:

 

Tensions Between HK, USA & China

One major issue that could dictate market movements in the coming weeks is new national security laws which China plans to impose on HK, and how the US is going to react.

Relations between the US and China are already strained because of trade and the Covid virus, and this could become a proxy battle.

Join our Last 2 Skillsfuture Workshops!

Last weekend, we conducted another full-house Skillsfuture workshop, with 40 pax of new traders & investors, as well as some of my past students who sat in to help out.

There were so many sign-ups that we had to turn some people away, and ask them to join the next intake on 30 & 31 May. Although the next class is still 2 weeks away, it is already almost full, so before my license expires on 18 June, I will open one final class on 13 & 14 June to accommodate this influx of demand.

This fully subsidised Skillsfuture workshop will give you the skills and roadmap to build a second source of income to plan for early financial freedom, by building an all-weather portfolio that can perform well in any market conditions, and also market timing skills to create additional cashflow from short/medium-term trades.

Dates:
30 & 31 May 2020 (6pm to 10pm)
13 & 14 June 2020 (6pm to 10pm)

Click here to check availability:
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P.S. According to Skillsfuture regulations, the maximum intake is capped at 40 slots, so we will not be able to add new slots once all are filled up. Register early to avoid disappointment!

P.P.S. Your slot is only confirmed after you have completed payment and submitted the confirmation to the organiser. If you registered but did not complete payment & submission, your slot is still up for grabs to the next person who completes it.

💰 First-come, first-serve!
🍻 See you soon! 😄

 

From 2017 to 2019, Tesla was trading between the range of $180 to $400.

All that changed when it broke above $400, then went to $500, then $600, then $700, then $800, then $900, all within the span of a few weeks. Will it hit $1000 next?

In this video, I explain my reasons for buying Tesla stock, how I screwed up the trade, and how you can tackle parabolic charts such as this.

Enjoy the video, and remember to “like” and “subscribe”!

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I first posted about Beyond Meat (NASDAQ: BYND) in my free Telegram channel when I spotted an accumulation pattern in the price action, followed by a successful breakout.

 

The next few days, prices continued to surge, making us very decent profits for this trade.

 

Now, let’s take a look at the current price chart.

 

Prices are still a bit volatile, and although the medium-term trend looks bullish, we can expect choppy movements.

The next earnings announcement is on 5 Feb 2020, which is pretty soon.

I will continue monitoring this stock for more trading opportunities, and post my analysis in my Telegram channel.

See you on the inside!

With a confluence of good news, Tesla (NASDAQ: TSLA) has been one of my best stock investments to date.

The shares hit a record high after beating estimates for vehicle deliveries in the 4th quarter, and Tesla’s Chinese Gigafactory has started delivering its first cars.

 

Looking at this weekly chart, we can see that the general pattern is a trending trading range.

From 2014 to 2017, the stock traded between $180 and $280, which was around a $100 range.

From 2017 to 2019, the stock traded between $250 and $380, which was around a $130 range. There was a brief period where is also dipped down back to test the prior range bottom of $180.

Depending on where you bought, your returns could range from 80% to 140%, which is pretty awesome for your portfolio.

And now that prices have broke above the $400 level, I am expecting price to stabilise and form a new trading range.

At this point, it is hard to tell where the boundaries of the range is going to be, but if you are looking to buy, then it is best to buy near the bottom of the range once it gets established.

I will continue to monitor this stock since it is in my portfolio, and post any new updates or buying opportunities in my free Telegram channel.

See you on the inside!

Tesla recently posted a cash balance increase to $5.3 billion and reported a profit of $1.86 per share, shattering analyst expectations for a loss of 42 cents per share.

Elon Musk promised a 2020 rollout of a cheaper SUV and more self-driving technology to stay ahead of larger rivals rushing into the premium electric vehicle market he created.

 

 

Looking at the chart of Tesla, we can see that it traded between the range of $250-$390 for almost 2 years (mid 2017 to mid 2019), before breaking to test a major support level at $180.

From there, it has made a strong recovery, with a whooping 70% gain from its June 2019 bottom.

Now, prices are close to $300, and it looks poised to test the highs of $390 again.

I will continue to hold and look for opportunities to accumulate more again.