Earnings Season + July 31st US Interest Rate Decision; Fast Reflexes Required…or Slow and Steady and Follow the Trends?

by John Knobel

 

 

The multi-month trend for the SP500 is an uptrend; this can be supported by higher tops and higher bottoms on prices from the May 2019 lows to the July 2019 highs; current price is trading above its 4,9 and 18 period moving averages (bullish); however RSI momentum indicator is losing upside momentum; suggesting that the current uptrend is slowing; long positions can be technically supported upon a break out move above the 3023.50 resistance for a potential 3100 move in extension; otherwise provided an attempt to challenge the 3023.50 resistance fails a move lower to test the 2960 support 1 cannot be ruled out.

 

FANG Index hits resistance at 2,670; current price 2,617 the Index is composed of Facebook, Apple, Amazon, Netflix and Google, plus another five actively-traded technology growth stocks including Alibaba, Baidu, NVIDIA, Tesla and Twitter; with the upcoming earnings from Facebook; Amazon;  Google and Twitter over the next week; the Fang Index is likely to provided traders with price action; a break above 2,644 opens up potential further upside towards the 2,844 resistance; otherwise a retracement towards the 2555 - 2484 supports cannot be ruled out.

 

The multi-month trend for the Coffee is an uptrend; this can be supported by higher tops and higher bottoms on prices from the April  2019 lows to the June 2019 highs; current price is trading above its 4,9 and 18 period moving averages (bullish); however RSI momentum indicator is losing upside momentum; suggesting that the current uptrend is slowing; long positions can be technically supported provided price can remain above the key 105.55 support; a break below key support opens up the potential for a trend reversal towards the downside;  upside potential towards 115.65 to challenge the 115.65 resistance cannot be ruled out;

 

Earnings table for next week:

 

Source: FXGM Investment Research Department / Bloomberg