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.
Wednesday, June 30, 2010
Market Sentiment
Nasdaq -33=-2
S&P 500 -85=-2
Ftse -157=-1
Nikkei -123=-1
Futures -93=-4
Market Sentiment -14
Investors have fled the US stock market and the S&P 500 tumbled to its lowest level in eight months in a sell-off triggered by a wave of increasing alarm over the global economic outlook.
All but one stock in the S&P 500 ended lower as escalating doubts about the stability of Europe's banks roiled markets once again.
Tuesday, June 29, 2010
Market Sentiment
Nasdaq -3=-1
S&P 500 -2=-1
Ftse 25=1
Nikkei -43=-1
Futures -15=-2
Market Sentiment -6
Australian stocks are set to open lower on Tuesday, with mining and energy stocks poised to fall on weaker metals and oil prices, dogged by a cautious outlook on the global economic recovery.
Monday, June 28, 2010
Market Sentiment
Nasdaq 6=1
S&P 500 3=1
Ftse -54=-1
Nikkei 191=-1
Futures -3=-2
Market Sentiment -4
The Australian market has received flat to mixed leads from offshore trading, with Wall Street's key indices flat, while indices were down in Europe and Asia. Precious metals traded higher, as did oil and copper.
Friday, June 25, 2010
Market Sentiment
Nasdaq -37=-2
S&P 500 -18=-2
Ftse -78=-1
Nikkei 5=1
Futures 59=-4
Market Sentiment -12
The Australian sharemarket has received strongly negative leads from key indices overnight, although commodities markets were stronger, with precious metals, copper and oil all rising.
Thursday, June 24, 2010
Market Sentiment
Nasdaq -27=-1
S&P 500 -3=-1
Ftse -68=-1
Nikkei -189=-1
Futures 8=2
Market Sentiment 0
The Australian sharemarket has received flat to negative leads from overnight trading offshore. Wall Street's key indices were flat, but commodities were lower, as were European markets.
Wednesday, June 23, 2010
Market Sentiment
Nasdaq -27=-1
S&P 500 -18=-2
Ftse -52=-1
Nikkei -125=-1
Futures -45=-2
Market Sentiment -9
The Australian market has received mixed leads from overnight trading offshore, with major Wall Street indices all lower, but precious metals and copper were higher. Oil, too, fell.
Tuesday, June 22, 2010
Market Sentiment
Nasdaq -20=-1
S&P 500 -4=-1
Ftse 58=1
Nikkei 243=1
Futures -30=-2
Market Sentiment -4
The Australian stockmarket has had mixed leads from offshore markets overnight, with Wall Street and gold trading lower, while silver, copper and oil prices were higher.
Monday, June 21, 2010
Market Sentiment
Nasdaq 3=1
S&P 500 1=1
Ftse -3=-1
Nikkei -4=-1
Futures 6=2
Market Sentiment 4
The Australian stock market is expected to open higher, after a positive finish on Wall Street and firmer oil and gold prices.
Friday, June 18, 2010
Market Sentiment
Nasdaq 1=1
S&P 500 1=1
Ftse 16=1
Nikkei -68=-1
Futures 8=2
Market Sentiment 6
The Australian share market has received a positive lead from Wall Street, where there was a late surge in buying despite several weaker than expected economic reports.
Thursday, June 17, 2010
Market Sentiment 17th June 2010
Nasdaq .05= 1
S&P 500 -.5= -1
Ftse 20=1
Nikkei 179= 1
Futures 6= 2
Market Sentiment 6
Wednesday, June 16, 2010
Market Sentiment
Nasdaq 62=2
S&P 500 26=2
Ftse 16=1
Nikkei 8=1
Futures 68=4
Market Sentiment 14
Australian shares are set to open higher on Wednesday following strong gains in US stocks as investors went on a buying spree after discarding concerns about global economic growth.
Friday, June 11, 2010
Market Sentiment
Nasdaq 60=2
S&P 500 31=2
Ftse 47=1
Nikkei 104=1
Futures 68=4
Market Sentiment 14
The Australian share market has received positive leads from the offshore trading session overnight, after Wall Street closed firmer and commodities prices rose.
Thursday, June 10, 2010
Market Sentiment
Nasdaq -12=-1
S&P 500 -6=-1
Ftse 58=1
Nikkei -99=-1
Futures -11=-2
Market Sentiment -6
NEW YORK - US stocks fell on Wednesday in another late-day roller-coaster ride, dragged lower by BP and other energy shares as the US probe of the oil spill in the Gulf of Mexico deepened.
Wednesday, June 9, 2010
Market Sentiment
Nasdaq -3=-1
S&P 500 12=1
Ftse -41=-1
Nikkei 17=1
Futures 7=2
Market Sentiment 6
The Australian sharemarket has received positive leads from offshore trading overnight, with Wall Street indices generally higher, along with precious metals, oil and copper
Tuesday, June 8, 2010
Market Sentiment
Nasdaq -45=-2
S&P 500 -14=-2
Ftse -57=-1
Nikkei -380=-1
Futures -37=-2
Market Sentiment -12
The Australian stockmarket is expected to open weaker, after Wall Street closed at its lowest level in seven months during the offshore trading session.
Monday, June 7, 2010
Market Sentiment
Nasdaq -84=-2
S&P 500 -38=-2
Ftse -85=-1
Nikkei -13=-1
Futures -114=-4
Market Sentiment -14
The stock market is set for a big fall at the open, after Wall Street slumped more than three per cent overnight on Friday, and the price of benchmark commodities contracts such as oil, silver and copper closed weaker.
Friday, June 4, 2010
Market Sentiment
Nasdaq 22=1
S&P 500 4=1
Ftse 60=1
Nikkei 311=1
Futures -6=-2
Market Sentiment 4
The Australian sharemarket has received mixed leads from overnight trading overseas, with Wall Street indices slightly higher, precious metals and copper lower, but oil finishing up.
Thursday, June 3, 2010
Market Sentiment
Nasdaq 59=2
S&P 500 28=2
Ftse -12=-1
Nikkei -108=-1
Futures 81=4
Market Sentiment 10
Australian shares are set for a strong opening after Wall Street posted its third largest gain of 2010 as better-than-expected home sales figures boosted optimism towards the US economy
Wednesday, June 2, 2010
Market Sentiment
Nasdaq -35=-2
S&P 500 -19=-2
Ftse -25=-1
Nikkei -57=-1
Futures -44=-2
Market Sentiment -12
Australian shares are set to fall after Wall Street dropped on the possibility of criminal charges into the Gulf of Mexico oil spill and ongoing concerns about Europe's financial sector.
Tuesday, June 1, 2010
Market Sentiment
Nasdaq closed
S&P 500 closed
Ftse closed
Nikkei 6=1
Futures -17=-2
Market Sentiment -1
European equities closed higher, led by shares of German exporters, but a downgrade of Spain's credit rating weighed on Madrid-listed stocks, with Banco Santander and BBVA losing ground.
Wall St was closed overnight due to the Memorial Day holiday in the US, while the UK sharemarket was also closed.
Australian shares are set to continue modest falls, although volumes are expected to be low at the open with no lead from major overseas markets due to public holidays.