Breaking

Safe Haven Flow Continues

Views: 230
1 0

STATE OF THE MARKETS

Safe-haven flows continue to dominate markets as rising Covid-19 cases send equities and treasury yield lower. US 10 year note yielded lower 1.03% than it was a year ago as markets scrambled for safe haven in the wake of rising corona cases worldwide that could jeopardize economic recovery. Uncertainties in the US election results is also driving the risk-off mood, though a little more optimistic in the medium term outlook. Energy, financial, real estate and industrials sectors were the worst hit, with more than 1% down; while consumers, communication and IT were major beneficiaries.

Crude tried to stage a rally but remained under pressure below $40/barrel as news hit the wire that Hurricane Zeta would disrupt supply in the Gulf of Mexico. Block orders of close to 2,000 contracts may see price remain supported for a while. Gold closed higher and remain well bid above $1,900/oz.

Kiwi continued to surged higher as Greenback slipped lower after London closed, when Reuters polls showed that US economic outlook has dimmed in the wake of resurgence in new corona virus cases. 

 


G8 CURRENCIES SENTIMENTS

ST JPY NZD CAD GBP USD AUD CHF EUR ST
MT NZD JPY AUD GBP USD CHF EUR CAD MT
LT NZD CHF GBP CAD EUR AUD JPY USD LT
** ST refers to Short-Term which is daily turnover, MT is Medium Term which is 
weekly
and LT refers to Long-Term which is monthly turnover.

WALL ST MOST ACTIVE

TICKER LAST PRICE

% CHANGE

VOLUME 90 DAYS AVG
AMD 78.88 -4.07 156,669.5K 57,830.8K
NIO 28.44 +9.34 104,257.7K 126,006.6K
ISIG 1.28 +34.75 102,151.4K 426.0K
GE 7.10 -3.79 98,170.0K 92,714.0K
AAPL 116.60 +1.35 92,276.8K 163,537.1K
WEI 2.35 +35.06 85,818.0K 1,860.3K
AAL 11.23 -4.83 65,803.4K 71,334.4K
SNAP 41.54 +0.65 63,646.9K 30,583.5K
F 7.92 -1.37 64,154.5K 64,332.8K
SQQQ 22.06 -2.30 59,278.4K 49,336.1K
** % Change here refer to price vs previous day price

WALL ST TOP FLOWS

TICKER LAST PRICE

VOLUME

% CHANGE FUNDS FLOW $
AMZN 3,286.33 4,291.0K -14.66 14,101.6M
AMD 78.88 156,669.4K +197.84 12,358.1M
AAPL 116.60 92,276.7K -27.83 10,759.5M
TSLA 424.68 22,686.5K -42.66 9,634.5M
MSFT 213.25 36,700.3K +34.46 7,826.4M
FB 283.29 16,287.2K -12.32 4,614.0M
BABA 317.14 13,175.8K +0.10 4,178.6M
XLNX 124.35 32,093.3K +538.47 3,990.8M
ZM 538.99 7,227.6K -20.76 3,895.6M
NVDA 535.87 6,262.9K -34.06 3,356.1M
** % change here refers to volume vs. 20 days average volume.

TOP 5 BLOCK ORDERS

TICKER PRICE/STRIKE TYPE VOL/OI FUNDS FLOW
LVS 48.29/50.00 stock options/call 56.49 313.8M
VOD 13.98/18.00 stock options/call 50.81 63.7M
ELY 19.28/30.00 stock options/call 48.12 152.9M
SOJ1 24.33/22.00 silver options/put 300 52.9K
CLZ0 38.92 – 39.50 crude oil futures 1,995 78.2K

OUR PICK – CISCO

Regardless of who wins the US election, technology remain as the key driver for growth. We long $CSCO. If you love income stocks, you’ll love Cisco (CSCO, NASDAQ) that is paying higher dividend than markets. Discounted cash flow valuation is showing the company is 43% under it’s fair value. The price suffer a setback in the heat of the pandemic, but have rallied since and now at a juncture of picking up new orders. We believe $CSCO as a network equipment manufacturer is poised to benefit from 5G growth as well as the trend in working from home.

HORIZON STRATEGY SL TP1 TP2
Short-Term BUY 36.40 46.00 48.50
Medium-Term BUY 36.40 47.00 50.00
Long-Term BUY 33.20 50.00 58.00

 

Disclaimer:

This article is for general information purpose only. It is not an investment advice or a solicitation to buy or sell any securities. Opinions expressed are of the authors and not necessarily of MFM Securities Limited or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.