Morning Briefing Global Stocks
$DIA, $DAX, $DJSH, $N300, $NSEI, $BSESN
Commentary: DJIA’s Key support broke and the machines took over Monday. And globally stock indices are down and have entered into a sharp corrective more after the long rally. Corrective pullback is likely to continue this week. All indices seem to be above Key supports which if they breaks could push the indices further South medium term.PE
DJIA at 24345.75, -4.60% has come off breaking below the Key 24500 Monday, 1st support is see at 23500. If that holds, it could keep the index range-bound for a few sessions, or a further fall towards 23350 or lower is possible. Need to see if 23500 holds in here.
DAX at 12687.49, -0.76% broke below 12700, and while the indices are down globally, DAX could head to 12600 near term. A break below 12600, if seen could turn Very Bearish medium term.
Nikkei at 21487.87, -5.26% is down sharply, expect it to test Key support at 21000. This is Key support, and in case the Bears push the index below 21000, it could trigger a medium term Bearishness to much lower levels in the weeks ahead.
Shanghai at 3417.81, -2.00% looks ranged within 3500-3390, as mentioned Monday. But while the other indices are down globally, Shanghai too could test to 3390 and lower. Need to see if 3390 holds or breaks over the next 2-3 days.
Nifty at 10666.55, -0.87%, and Sensex at 34757.16, -0.88% are down sharply much in line with expectations. So, while the correction continues, the indices could be headed to 10400-10380 and 34250-34000 respectively.
Note: that the SGX Nifty at 10323, -3.48% is down sharply and could push down the Indian stock indices on the open Tuesday morning.