Nikkei 225, Dow and NASDAQ 100 await NVIDIA results
Nikkei 225, Dow and NASDAQ 100 await NVIDIA results which are likely to have a significant impact on global stock indices on Wednesday.
Nikkei 225 stays range bound
The Nikkei 225 index has been trading sideways around the 200-day simple moving average (SMA) at 38,402, but below the 55-day SMA at 38,525 over the past couple of weeks. If the index can move above both moving averages, the next target would be the late July high at 39,281.
A break below Monday's low at 37,817 would engage the previous Monday’s low at 37,163 and may lead to a retest of the 36,000 level.
As long as the 19 August low at 37,163 low holds, the near-term bullish outlook remains intact.
Dow Jones Industrial Average trades near record high
The Dow Jones rally is awaiting NVIDIA earnings on Wednesday.
A rise above Monday’s 41,428 record high would engage the 41,500 region whereas a fall through Tuesday’s 41,091 low would likely lead to the 20 August high at 40,958 being revisited.
The medium-term uptrend remains intact as long as Thursday’s 40,812 low holds.
NASDAQ 100 awaits NVIDIA results
The NASDAQ 100 continues to trade around the 55-day moving average at 19,550, having last week come off its 19,938 one-month high. This needs to be bettered, for the June high at 20,006 to be reached.
Since the stellar 166% NVIDIA year-to-date (YTD) share price rise has been responsible for over a third of the NASDAQ 100’s gain this year, its earnings out on Wednesday after-hours are expected to have a major impact on the indices’ near-term trend.
A fall through Tuesday’s low at 19,374 could trigger a more significant correction towards the 23 May high at 18,949.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
Take a position on indices
Deal on the world’s major stock indices today.
- Trade the lowest Wall Street spreads on the market
- 1-point spread on the FTSE 100 and Germany 40
- The only provider to offer 24-hour pricing
Live prices on most popular markets
- Forex
- Shares
- Indices
