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STATE OF THE MARKETS
Equities retreated on waning optimism. Global equities were mixed with major stocks indexes retreated lower after report on jobless claims in the US was worst than expected. Though markets cheered the fresh $1.9T stimulus plan from Joe Biden administration, rising cases of covid-19 globally and new variants discovered in Japan and Brazil, brought the fear and greed index lower. More than $256b flowed into the shorter US 5Y bond as investors were concerned on the long term. Yield for the 10 year rose to 1.13% as price fell.
The waning optimism however, was rebalanced with bullish signs from Chinese import data; which drove crude higher to close above $53.55/bl, while the yellow metal gold remain well bid above $1,845/oz as the greenback drove lower post Fed Powell speech of accommodative monetary policies.
The Feds chairman reassured that the US central bank is not raising rates anytime soon or reducing its bond purchases in the near term, which weigh heavy on the Dollar. Commodity currencies were back in demand for the short-term while medium term accounts were seen on profit taking. Positioning in the long term accounts suggested that Dollar short-covering is going to stay for quite some time.
G8 CURRENCIES SENTIMENTS
| ST | AUD | NZD | CAD | GBP | JPY | USD | CHF | EUR | ST |
| MT | GBP | CAD | JPY | USD | AUD | CHF | NZD | EUR | MT |
| LT | AUD | NZD | GBP | CAD | USD | EUR | JPY | CHF | 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 |
| ZOM | 1.01 | + 3.48 | 317,432.1K | 93,328.0K |
| BNGO | 6.95 | + 23.45 | 235,016.1K | 40,505.3K |
| LXRX | 8.05 | + 105.36 | 163,685.7K | 5,792.3K |
| CCIV | 17.36 | + 3.83 | 140,983.0K | 5,060.7K |
| IDEX | 3.30 | + 21.77 | 135,387.4K | 29,800.8K |
| F | 10.17 | + 3.99 | 112,695.3K | 65,207.3K |
| NIO | 60.78 | – 2.06 | 99,338.4K | 155,846.6K |
| NOK | 4.09 | + 2.76 | 93,198.6K | 29,980.0K |
| GME | 39.91 | + 27.10 | 93,717.4K | 13,080.9K |
| PLUG | 66.54 | – 4.26 | 89,190.0K | 35,416.3K |
** % Change here refer to price vs previous day price
WALL ST TOP FLOWS
| TICKER | LAST PRICE |
VOLUME |
% CHANGE | FUNDS FLOW $ |
| TSLA | 845.00 | 31,266.3K | – 40.82 | 26,420.0M |
| AAPL | 128.91 | 90,221.7K | – 19.52 | 11,630.5M |
| AMZN | 3,127.47 | 3,070.9K | – 15.26 | 9,604.2M |
| BABA | 242.98 | 31,381.6K | – 13.66 | 7,625.1M |
| FB | 245.64 | 29,739.4K | + 61.61 | 7,305.2M |
| MSFT | 213.02 | 29,346.7K | + 8.73 | 6,251.4M |
| NIO | 60.87 | 99,338.4K | – 28.92 | 6,046.7M |
| PLUG | 66.54 | 89,190.0K | + 67.58 | 5,934.7M |
| AMD | 90.79 | 53,408.2K | + 32.11 | 4,848.9M |
| TSM | 126.45 | 37,125.4K | + 249.26 | 4,694.5M |
** % change here refers to volume vs. 20 days average volume.
TOP 5 BLOCK ORDERS
| TICKER | PRICE/STRIKE | TYPE | VOL/OI | FUNDS FLOW |
| NAVI | 12.11/12.50 | stock options/call | 130.99 | 4,944.5M |
| FANG | 61.93/90.00 | stock options/call | 95.21 | 3,008.5M |
| GC | 1,841.00 – 1,845.40 | gold futures | 720 | 132.6M |
| ZF | 125.1925 – 125.22 | US bond futures | 11,750 | 256,682.2M |
| CL | 51.76 – 53.65 | crude oil futures | 6,650 | 352.1M |
OUR PICK – No new pick
No new pick going into weekend. Of our three picks this week, GBP/USD was stopped out, Gold and USD/CHF are still in play. We see weaker Dollar in the short term as markets digest the new stimulus plan, while medium and long term technical suggested that Dollar short covering is gaining momentum. Heavy bidding in the bond markets, as investors seeking higher yield might continue to buoy Dollar in the medium term.
| HORIZON | STRATEGY | SL | TP1 | TP2 |
| Short-Term | – | – | – | – |
| Medium-Term | – | – | – | – |
| Long-Term | – | – | – | – |
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.
