The Week Ahead 2022 โ [STI, HSI, NASDAQ & S&P]
Bye bye 2021 and hello 2022! S&P finished well for the year with nearly 27% gain ๐as it closed near record high! It has been a good year for the markets and we hope that you managed to benefit from it too! Going into 2022 we might not see such gains but none the less we’re here to navigate through the times with you! Rising inflation, fed tapering, increasing interest rates and Omicron are some issues markets will have to deal with coming this year.
Key Events to Watch Forย
Tuesday -Wednesday – ADP Nonfarm Employment Change (Dec)
Thursday – Initial Jobless Claims , ISM Non-Manufacturing PMI
Friday – Nonfarm payrolls, Unemployment rate
Technical Levels to Watch For This Week
STI
STI had a decent gain for the year of around 9% not too bad given STI’s reputation. Well, at least it out performed HSI and didn’t get mentioned as the worst performing index. So something to be thankful for!
As we head into the new year, there is some growing optimism for Singapore as we are recovering from Covid-19 and trying to open up as much. With VTLs currently being suspended, it will take awhile before we turn the corner again. Also, Singapore is bracing for more omicron cases which might delay some progress in this area.
From the technical point of view, STI closed just at the 20ema but we would want to see a nicer closing candle for more upside to happen. With that our next upside target is around 3168. Electronic stocks are showing signs of rebound. Stocks like ISDN, UMS, AEM are currently in play.
HSI
One of the worst performing index is the HSI. It started off well but ended the year down close to 13%. It is still below our uptrend line but it did hit the long term uptrend line over HERE. It is still below the 20ema and unless it can break above that then we might see a nice rebound for the start of the year. A rush of short covering and bargain hunting probably caused a nice bump up towards the end of the week.
Upside resistance of 24000 is our first target.
For more analysis on the US market , you can clickย HERE!
Have a good week ahead!
Yours
Humbly
Kelwin&Roy
