1/29 Monday Trading Plan

29 Jan

📊 Market Sentiment:

• Federal Reserve and Bank of England Meetings: Expectations of unchanged rates in both meetings, with a focus on the Fed's dovish stance and persistent inflation in the UK.
  
• Tech Earnings Reports: Alphabet's earnings spotlight, alongside AMD, Microsoft, Qualcomm, and Amazon, are critical for assessing tech sector health.
  
• Economic Data Releases: U.S. economy's 3.3% growth in Q4 2023 and other key global economic indicators are influencing market directions.
  

📝 Today's Recap:

• Corporate Earnings and Economic Resilience: Analysis of 4Q23 earnings showing signs of economic resilience, with a focus on technology and communication sectors.
  
• Buy Now, Pay Later Trend: Reflects the impact of inflation on consumer behavior, indicating shifts in household financing methods.
  
• Market Movements: Record highs in S&P 500 and Nasdaq, energy sector performance, and trends in crude oil prices and gold values.
  

🌍 Global Financial and Economic News:

• Global Market Insights: Key events including Fed and BoE meetings, US payrolls, eurozone GDP, and global PMIs provide a holistic view of the economic landscape.
  
• Investment and Market Trends: Insights into potential market risks, including U.S. debt concerns and the outlook for M&A activity.
  
• Treasury Yields and Fed Decisions: Analysis of treasury yield movements in anticipation of the Fed's policy decision.
  

📉 Support Levels to Watch:

• 4914 (Major)
  
• 4903-05 (Major)
  
• 4897 (Major)
  
• 4881
  
• 4876-78 (Major)
  

📈 Resistance Levels to Watch:

• 4914
  
• 4918 (Major)
  
• 4925 (Major)
  
• 4936
  
• 4942-44 (Major)
  

📅 Trading Plan for Monday:

• Bull Case: Focused on maintaining support levels, especially above 4895, to foster continued upward momentum.
  
• Bear Case: Monitoring for breakdowns below 4895, indicating a potential shift to a bearish trend.
  
• Strategy: Emphasize level-to-level trading around key support and resistance levels, adapting to real-time market conditions.
  

Disclaimer: This analysis is for educational purposes only and is not financial advice. Always consult with a professional financial advisor before making trading decisions.