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Week ended 1st July, 2011 – Market this week .

This week developed markets performed in extraordinary fashion, as some of these indexes rose more than 5% in weekly closing figures. Friday’s manufacturing data gave markets a boost to rise but I am not totally satisfied with the figures of initial days of this week. Though Japan had a better retail sales report but market has not shown much reaction on S&P threat of rating cut for US. It is good to see that Greece has passed that austerity bill but I  will be looking how Greeks react about it in future.
Coming week

Last week I was expecting some rise in DAX, though it couldn’t beat 7400 level but it broke 7300, which looks good to me.. Now in coming days if it breaks 7600 level then it will definitely negate that bearish pattern. On the downside 7000 level is still intact.
DOW broke good resistance at 12400 level,  I will be more satisfied if it got volume support. If in coming days it breaks 12600 level then it must try for 12800 level. I will be closely looking about this 12600 level for DOW. In the downside it has support at 12200 level.
Last week I told that BOVESPA gets some good support at 61000, as such it bounced up from that level. Now 64000-65000 level will act as good resistance for it. If in coming days it breaks this level then it will negate the lower high and lower lows pattern. But for that it need good surroundings.
Shanghai Composite is trying but it couldn’t able to break 2800 level. Though in coming week market looks to be positive but I have a feeling that if Shanghai Composite does not get any good news then it may decouple. But any better news can take it to more than 2800 may be around 2900 level.
KLSE finally broke 1580 level, which was long due. For any move of this type I will be looking for more volumes but as momentum is getting better so it can rise more from here. But it is in very oversold zone as I said in last week, so it is vulnerable for any bad news.

Reports due in coming days

Tuesday,6th July, 2011 – Factory Order
Wednesday,7th July, 2011 – ADP Job Reports, ISM Non-Mfg. Index.
Thursday,8th July, 2011 – Unemployment Claim
Friday,9th July, 2011 – Monthly Job Report, Unemployment Rate.

I am not sure about this turn-around, though Greek got some relief but threat is still there. On the other side US has got some temporary relief from alternative of QE-2 but they need some good solution. These turn-around is making big opportunities for those who couldn’t able to get-out from previous rally. Unless these indexes are broking their recent highs, I am not satisfied with these move.

Sorry for brief review this week.
NOTE :  Please see the disclaimer below this blog .


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