Shanghai: SSE Composite Index (.SSEC) Slightly Lower Pre-Market
Asian shares were mixed on Thursday after U.S. stock indexes eked out tiny gains in a wobbly day of trading as investors reviewed another set of mixed company earnings.
Japan’s Nikkei 225 advanced 0.6% to 22,763.93 and the Hang Seng in Hong Kong climbed 0.4% to 26,682.41. The Shanghai Composite index slipped 0.2% to 2,935.25 and the Kospi in South Korea also fell 0.2%, to 2,076.63 after GDP data came in lower than expected. India’s Sensex gained 0.4% to 39,223.01. Shares rose in Taiwan and Southeast Asia.
A preliminary measure of manufacturing for Japan, the Jibun Flash Manufacturing purchasing managers’ index was at its lowest level in more than three years, 48.5 and below the 50 level that marks the break between expansion and contraction.
While it’s still early in this earnings season, traders are trying to gauge how much the U.S. trade war with China and a slowdown in global economic growth is hurting corporate America.
Some of the companies’ earnings topped analysts’ expectations. Others put traders in a selling mood after warning that the slowing global economy and trade tensions are hitting their profits.
“With the US-China trade talks quiet for now, U.S. earnings have driven volatility and market direction this week,” Jeffrey Halley of Oanda said in a commentary.
The lack of direction in earnings Thursday was reflected in the market, which spent most of the day wavering between tiny gains and losses.
Overall, the bias in prices is: Sideways.
The projected upper bound is: 3,011.28.
The projected lower bound is: 2,877.46.
The projected closing price is: 2,944.37.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 29 white candles and 21 black candles for a net of 8 white candles.
A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 36.1808. This is not an overbought or oversold reading. The last signal was a sell 6 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 46.98. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 22 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -34. This is not a topping or bottoming area. The last signal was a sell 7 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 3 period(s) ago.
Rex Takasugi – TD Profile
SSE COMPOSITE closed down -0.698 at 2,940.921. Volume was 28% below average (neutral) and Bollinger Bands were 39% narrower than normal.
Open High Low Close Volume___
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 2,964.33 2,929.76 2,905.12
Volatility: 13 15 23
Volume: 14,479,095,808 17,191,936,000 23,064,227,840
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
SSE COMPOSITE is currently 1.2% above its 200-period moving average and is in an downward trend. Volatility is low as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of .SSEC at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on .SSEC and have had this outlook for the last 11 periods.