SPX closes off record high as Alphabet earnings disappoint
Benign inflation data helped US indices climb higher early in yesterday’s session, only to retreat off the highs as Alphabet’s earnings report missed expectations.
US30USD Daily Chart
The US30 index rallied for a second consecutive day yesterday but failed to break above this month’s high of 26,666
Rising 55-day moving average support is at 25,992 today with this month’s high of 26,666 and the October high of 26,939 likely resistance points
US pending home sales are expected to rebound in March, rising 0.5% m/m following a 1% drop in February.
DE30EUR Daily Chart
The Germany30 index advanced for a second day yesterday, touching the highest in seven months at one stage
The index is nearing the October highs while the 55-day moving average looks poised to cross above the 200-day moving average in the next few days. This may be interpreted as a longer-term bullish signal
Euro-zone economic growth is seen accelerating mildly in Q1. Forecasts suggest a 0.3% q/q expansion from +0.2%.
CN50USD Daily Chart
China shares extended the rebound from four-week lows yesterday amid a generally upbeat Wall Street
The 23.6% Fibonacci retracement of this year’s rally is at 13,272 while the rising 55-day moving average is at 12,939. The index has traded above this average since January 18
China’s April manufacturing PMI came in at 50.1, below forecast and a deterioration from March’s 50.5 reading. This could hinder market sentiment.
