Think Financial Markets - Excellence In Trading Financial Markets
Market Sentiment
It is essential that we have a general feeling of which direction our market may trade on any given day.
To achieve this it is necessary to be aware of how global markets have performed on the previous day as well as during the night.
We measure this sentiment by allocating points to certain global indicies to measure their strength or weakness.
We look firstly to The Dow Jones Index. This index is one of the world’s most influential and as such rates very highly in determining the daily sentiment.
We allocate between 2 pts plus or minus if the overnight movement is less than 50pts or 4pts if over 50pts
The next most important indicator is the SPI200 which is the futures contract covering the Australian markets top 200 stocks and trades almost 24hours per day.
We also allocate between 2 and 4 pts as per the Dow.
Then we add both the Nasdaq and the S&P 500 indicies from the U.S they are allocated points as follows
Nasdaq above /below 30 ,plus or minus 2pts or less than 30, 1pt
S&P 500 above /below 15, plus or minus 2pts or less than 15, 1pt
Next we add the FTSE 100 results from England and the NIKKEI 250 from Japan which are allocated 1pt for a plus or minus result.
The maximum points on our table are 14 and variations of this will gauge bullish or bearish sentiment.
Other very important overnight markets to be taken into consideration when trading the Australian market are firstly the strength or weakness in the Aussie dollar versus the US dollar and we rarely have a good day if the commodity markets have been sold down during the night.
Friday, January 29, 2010
Market Sentiment
Nasdaq -42 =-2
S&P 500 -13 =-1
Ftse -72=-1
Nikkei -162=1
Futures -72=-4
Market Sentiment -11
Australian stocks are set for a weaker opening with worse than expected US employment data causing significant falls on Wall Street.
Thursday, January 28, 2010
Market Sentiment
Nasdaq 18 =1
S&P 500 5 =1
Ftse -59=-1
Nikkei -73=-1
Futures 16=2
Market Sentiment 4
Australian stocks are expected to open lower on Thursday with a drop in sales of new homes in December in the United States causing concerns about the pace of economic recovery and leading Wall Street down.
Wednesday, January 27, 2010
Market Sentiment
Nasdaq -7 =-1
S&P 500 -5 =-1
Ftse 17=1
Nikkei -187=-1
Futures -33=-2
Market Sentiment -6
Australian stocks are likely to open steady on Wednesday after the Australia Day public holiday, despite gains on Wall Street due to a rise in consumer confidence.
Monday, January 25, 2010
Market Sentiment
Nasdaq -60 =-2
S&P 500 -25 =-2
Ftse 32=-1
Nikkei -278=-1
Futures -87=-4
Market Sentiment -14
The Australian sharemarket is expected to open lower following a third straight day of significant losses on Wall Street on fears about US banks and China's recovery.
Friday, January 22, 2010
Market Sentiment
Nasdaq -26 =-1
S&P 500 -22 =-2
Ftse -86=-1
Nikkei 131=1
Futures -93=-4
Market Sentiment -11
Australian stocks are likely to slump on Friday after equity markets in Europe and the US fell on concerns that the global economic recovery won't be as smooth as investors had been hoping.
Thursday, January 21, 2010
Market Sentiment
Nasdaq -29 =-1
S&P 500 -12 =-1
Ftse -92=-1
Nikkei -27=-1
Futures -27=-2
Market Sentiment -10
Australian shares are likely to open lower after global equity markets and commodities slumped overnight on concerns that the economic recovery will take longer than hoped to take hold
Wednesday, January 20, 2010
Market Sentiment
Nasdaq 32 = 2
S&P 500 14 = 2
Ftse 19=1
Nikkei -90=-1
Futures 36= 2
Market Sentiment 10
The Australian sharemarket is expected to open higher after US and European stocks and commodity prices gained overnight.
Tuesday, January 19, 2010
Market Sentiment
Nasdaq closed
S&P 500closed
Ftse 39=1
Nikkei -127=-1
Futures 5= 2
Market Sentiment 1
The Australian sharemarket may open slightly higher after European stocks gained overnight.
Trading volumes may be lower than average as the US had a public holiday on Monday.
Monday, January 18, 2010
Market Sentiment
Nasdaq -28=- 1
S&P 500 -12=-1
Ftse -42=-1
Nikkei 74=1
Futures -29=- 2
Market Sentiment -8
The Australian market is expected to decline when it opens after US stocks and commodity prices slipped on Friday.
But the late report on Friday by Commonwealth Bank of Australia (CBA), that its first-half profit is likely to be a bigger than expected $2.9 billion, is likely to prevent heavy losses among local equities.
Friday, January 15, 2010
Market Sentiment
Nasdaq 9= 1
S&P 500 3=1
Ftse 25=1
Nikkei 173=1
Futures 17= 2
Market Sentiment 8
The Australian market has received generally positive leads from overnight trading, with Wall Street indices higher, precious metals also rising, although oil and copper both fell.
Thursday, January 14, 2010
Market Sentiment
Nasdaq 26= 1
S&P 500 9= 1
Ftse -25=-1
Nikkei -144=-1
Futures 26= 2
Market Sentiment 6
The Australian share market has received generally positive leads overnight, with all three key Wall Street indices higher, along with precious metals and copper, although the price of crude oil fell again.
Wednesday, January 13, 2010
Market Sentiments
Nasdaq -30=-2
S&P 500 -11=-1
Ftse -39=-1
Nikkei 80=1
Futures -50=-4
Market Sentiment -9
The Australian market has received negative leads from overseas, with Wall Street indices lower, along with precious and base metals and oil.
Tuesday, January 12, 2010
Market Sentiment
Nasdaq -5=-1
S&P 500 2=1
Ftse 115=1
Nikkei 117=1
Futures 5=2
Market Sentiment 6
The Australian sharemarket is headed for a relatively flat open, after metals prices gained ground, oil subsided and Wall St was little changed late in the session.
Monday, January 11, 2010
Market Sentiment
Nasdaq 17=1
S&P 500 3=1
Ftse 8=1
Nikkei 117=1
Futures 30=2
Market Sentiment 8
The Australian sharemarket accumulated a solid overall gain last week as the 2010 calendar year began quietly, but was supported by consistent gains in commodities and metals prices.
Friday, January 8, 2010
Market Sentiment
Nasdaq -1=-1
S&P 500 5=1
Ftse -3=-1
Nikkei -50=-1
Futures 24=2
Market Sentiment 2
The Australian share market has received a mixed set of leads from overseas markets in offshore trading, with Wall Street's main indices and silver trading higher, but oil, copper and gold prices weaker.
Thursday, January 7, 2010
Market Sentiment
Nasdaq -8=-1
S&P 500 1=1
Ftse 8=1
Nikkei 50=1
Futures 11=2
Market Sentiment 6
The Australian sharemarket has received a positive set of leads from overseas markets in offshore trading, with Wall Street indices trading mostly higher and oil and metals prices firmer.
Wednesday, January 6, 2010
Market Sentiment
Nasdaq 1=1
S&P 500 4=1
Ftse 22=1
Nikkei 27=1
Futures 10=2
Market Sentiment 4
The Australian share market has received a mixed set of leads from overseas markets in offshore trading, with Wall Street indices and oil trading lower but metals prices higher.
Tuesday, January 5, 2010
Market Sentiment
Nasdaq 39=2
S&P 500 18=2
Ftse 87=1
Nikkei 108=1
Futures 55=4
Market Sentiment 14
The Australian share market has received positive leads from overseas markets in offshore trading, with Wall Street indices trading higher and metals and oil prices firmer.
At 0650 AEDT on the Sydney Futures Exchange, the March share price index contract was up 55 points at 4,932 points.
Monday, January 4, 2010
Market Sentiment
Nasdaq -22=-1
S&P 500 -6=-1
Ftse 15=1
Nikkei -91=-1
Futures n/a
Market Sentiment -6
The Australian share market received a mixed set of leads from overseas markets in offshore trading, with Wall Street indices closing lower, but metals and oil prices were slightly higher.
On the Sydney Futures Exchange, the March share price index contract, untraded over the holiday weekend, at 4,879 points.