Overnight Moves
Today, we looked at 21 charts; below are only some of them, but first, let’s have a look at the overnight moves. We are seeing some green on the board today, as we have a bit of risk-on sentiment going at least in the very short-term. Commodities are once again up, with silver being the big mover for us, up by 5.16%. Good news for crypto traders, Bitcoin has managed a bit of a comeback, gaining 3.89%.
S&P 500 Index
We saw something interesting throughout the day yesterday, between the European and US periods. We see high selling rates during EU-hours and high buying rates during US-hours, which is similar to what we saw earlier this week. Furthermore, we think this is something interesting to keep in mind. Our level of 6,750 did break at some point in the last session, and at that point, it really did look like we were finally seeing change and a possible start of a trend to the downside, but no, we did manage to make a comeback, down only 0.92%. This morning we have seen further selling, but we are still above our level of 6,750. We will have to wait and see if today brings about change.
South Africa Top 40 Index
Yesterday was a particularly heavy session for us; the market is down heavily by 5.85%. It seems like there was no stopping this as the selling momentum carried consistently throughout the day. While it was a heavy session yesterday, we at least see the start of today looking more positive with the opportunity for a bounce, as it is already up 1% at the time of writing. On days like these, it’s best to stick to low volume and wait for opportunities. Do not pull the trigger too quickly, as you can get caught on the wrong side, seeing as the market is volatile and reacting to world events.
Paypal (PYPL)
We are following this stock closely because of the rumours of a potential buyout. The company that was said to be interested in the deal has since come forward and denied interest, but the fact that PayPal has managed to hold and even gain a bit since then gives us cause to keep an eye on this stock, as there may be more going on. We will just have to see if any other news comes out regarding this situation. As things stand, PayPal seems to have found support at $44 which is a level we have mentioned before as a nice entry point, with a stop-loss set at $43.50, and we still recommend this trade if we see the stock move back down to that level.
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