Morning Briefing Global Stocks
$DIA, $DAX, $DJSH, $N300, $NSEI
Commentary: DJIA saw all resistances broken Tuesday. Overall the major stock indices are in a rally and may soon reach their exhaustion point from where a correction of 8 – 10% is possible medium to long term and maybe not. PE
DJIA at 23329.46, -0.48% has rallied from 21750 could be reaching its exhaustion mark. in the near term. Cautious is the rule in here as DJIA may be see a healthy a correction medium term. My Northside target is 24000 now, then, we wait, we see, a pause is preferred.
DAX at 12953.41, -0.46%, so, while it trades between 12900-13065 do not expect any sharp movement either way. Only a clear break on either side of this range will give some clarity on further direction.
Nikkei at 21738.39, +0.14% broke above my initial target at 21600 and is headed towards the next crucial levels at 22766 while the Nikkei holds the current above 21600. A rally in the coming sessions is expected with some interim corrections followed by a long term decline soon.
Note: Look for an reversal in USD/JPY for a signal.
Shanghai at 3409.47, +0.37% trades above 3400, and could target 3420-3425 before facing a rejection back to 3400 or lower. 3425 is major resistance, and could hold near term. Shanghai looks Bullish for Thursday and Friday to me.
Nifty at 10295.35, +0.86% gaped-up to 10333 as expected, but came down to test 10250 before closing at higher. 10350-10400 is 1st resistance on the Northside, which is likely to keep Nifty down for a few sessions more. A correction in Nifty is seen medium term. Be cautious near these marks.