The US stock market by the end of the week left without ideas
The results of yesterday’s trading on wall street belong to different areas of the world economy. Data on the level of GDP growth of China could provide significant support to the markets, but this did not happen, most global investors have taken a wait. Retail sales of new cars in March in the EU decreased by 4%. In China there is a General decline in sales of land, weak imports and a sudden drop in electricity consumption.
Therefore, on the one hand, there are positive signals, on the other hand more and more is being said about the incorrectness of the current data. A new round of trade wars is likely to be a confrontation between Europe and the USA. Yesterday the EU gave a list of American goods in respect of which the Old world can be introduced import duties. We will remind, after extensive proceedings, the WTO confirmed the fact of subsidization by the U.S. aircraft Corporation Boeing. This may cause the world economy a severe blow.
Nor on the international capital market, neither currency nor commodity yet new trends and ideas. On the contrary, all the predictions have already discussed more than once. Wait for the denouement. So far, I’ll stay on my position: between the levels of the S&P 500 index, covering the range from 2 to 888,82 3 000,03 – 3 111,13, it is necessary to close all positions on the American market. Depending on those levels which can reach the index Standard & Poor’s 500, and you need to open short sales (shorts).
As I wrote earlier, at the level 2 777,72 – 2 888,82 item we open the first and second shorts in America. Should wait until the level rises to 3 or 000,03 3 030,30 – 3 111,13 item.
________________ Roman Blinov,
Head of analytical Department,
“International financial center”