Fed’s Timetable
JCI ended with slight gains on Friday as the index struggled to face the impact of recent Federal Reserve meeting’s decision.
The Fed is seen completing the tapering campaign this year and within six months or so after the stimulus has been removed completely the Fed plans to start raising the rates. With just $55 billion left to remove, about six meetings will be needed, should the Fed keeps the pace of $10bn per meeting intact.
The Federal Reserve will meet in April (29 &30), June (17 & 18), July (29 & 30), September (16 & 17), October (28 & 29) and December (16 & 17). Six months after that will be in mid-2015 when the Fed plans to start raising the rates – if the economic conditions support such decision.
Crimea Annexed
Russia finally annexed Crimea, snatching it back from Ukraine. Putin’s decision to annex Crimea sparked more sanctions applied by EU and US against Russia.
It remains to be seen whether Russia will aim for more beyond Crimea. The Russian leader recently said that he won’t, however.
Sanctions implied on Russia brought some blows to the country’s credit rating. Fitch and S&P had cut the outlook to negative while Moody’s still maintain the outlook to stable.
Technically Speaking...
JCI finished the Friday’s session with slight gains even as it managed to rack up some decent gains beforehand.
Recent peak-turned-support at 4,665 will be the next line of defense where this level was also the prior resistance-turned-support.
As the index fell, the nearest resistance shifts to 4,802, while the next one is seen at 4,917, ahead of 5,000 which is the psychological resistance and subsequently the projection target at 5,063.
Volume continued to tick down, as well as MACD and RSI have turned negative.
Week Ahead
The impacts from Fed’s decision is likely to “taper off” next week as the market focus will return to domestic issues which will be dominated by politics. After the naming of Jokowi as canditate, the market is eager to know who will be the VP.
Tidak ada komentar:
Posting Komentar