USA500 Weekly Special Report based on 1.00 Lot Calculation:
USA500 INDEX:
- WHAT IS A STOCK INDEX: According to Investopedia.com, a stock index measures the price performance of a basket (group) of stocks using a standardized methodology. The S&P 500 Index is one of the world's best-known indexes and one of the most commonly used benchmarks for the stock market.
- COMPONENTS: USA500 includes 500 companies including Tesla, Apple, Google, Nvidia, Meta, and Goldman Sachs.
EVENT:
- US PRESIDENTIAL ELECTION 2024: DONALD TRUMP (R) WINS OVER KAMALA HARRIS (D). Donald Trump has become the 47th president of the USA and the markets are now expected to focus on his next steps once he takes office.
- LOWER CORPORATE TAXES. Back in 2016- 2020 period, when Donald Trump was the president for the first time, he managed to cut corporate taxes to 21%. He now promised will cut them again, this time to 15%.
- STATISTICS (2016): USA500 ROSE +12.14% WITHIN 6 MONTHS AFTER ELECTIONS AND +21.26% WITHIN 12 AFTER ELECTIONS, WHEN DONALD TRUMP WAS ELECTED 45TH PRESIDENT OF THE USA.
Data Source: Bloomberg
Please note that past performance does not guarantee future results
US FEDERAL RESERVE HAS BEGUN YET ANOTHER INTEREST RATE CUT CYCLE:
- BREAKING (SEPTEMBER 18): FEDERAL RESERVE ANNOUNCED ITS FIRST INTEREST RATE CUT SINCE 2020. US Federal Reserve decided to cut its benchmark interest rate by 0.50% points on September 18, to 5.00% from the previous 5.50%. The bank expects to cut rates two more times in 2024 to slash its benchmark rate to 4.5% by the end of 2024. The bank expects rates to fall to 3.5% in 2025 and further down to 2.9% in 2026.
- NEXT FED INTEREST RATE DECISION: November 7, 2024 at 19:00 GMT. As of November 6, the market sees high chances for 25 basis points interest rates cut. This could bring current rates of 5.00% down to 4.75%.
EARNINGS CALENDAR: Q3 Earnings Report Dates for some of the most known tech companies in the world
- ARM: WEDNESDAY, NOVEMBER 6, AFTERMARKET
- ALIBABA: FRIDAY, NOVEMBER 15, PREMARKET
- NVIDIA: WEDNESDAY, NOVEMBER 20, AFTERMARKET
Data Source: Bloomberg Terminal
USA500, November 6, 2024
Current Price: 5920
|
USA500 |
Weekly |
|
Trend direction |
|
|
7100 |
|
|
6600 |
|
|
6100 |
|
|
5770 |
|
|
5740 |
|
|
5700 |
Example of calculation based on weekly trend direction for 1.00 Lot1
|
USA500 |
||||||
|
Profit or loss in $ |
11,800 |
6,800 |
1,800 |
-1,500 |
-1,800 |
-2,200 |
|
Profit or loss in €² |
10,971 |
6,322 |
1,674 |
-1,395 |
-1,674 |
-2,046 |
|
Profit or loss in £² |
9,145 |
5,270 |
1,395 |
-1,162 |
-1,395 |
-1,705 |
|
Profit or loss in C² |
16,399 |
9,450 |
2,502 |
-2,085 |
-2,502 |
-3,057 |
1. 1.00 lot is equivalent of 10 units
2. Calculations for exchange rate used as of 09:45 (GMT+1) 06/11/2024
There is a possibility to use Stop-Loss and Take-Profit.
- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique could protect the profit.