1 October 2020 (7:56 am IST)
30 September 2020 (10:25 pm EDT)
Yesterday, at this hour, world stock markets were as chaotic as the first presidential debate 2020 between President Donald Trump and former Vice President Joe Biden.
At this hour yesterday, US stock futures had started tumbling in big numbers, giving the impression that US stock markets will see a highly negative session. But just before the opening bell in those markets, positive economic reports about the House Price Index came and US futures erased their losses.
US stock markets opened, traded, and closed positive in enthusiasm about those reports. Major US stock indexes have now created a small range and yesterday, it was a “higher low” trading pattern which confirms a minor uptrend within that range.
Today, US stock futures are taking forward the overnight rally and trading with big gains. However, these numbers are still within the current, smaller range.
This wildly fluctuating trend in US stock futures and markets has kept Asian stock markets confused and bigger Asian stock markets are trading mixed. SGX Nifty, which usually follows the trend in US stock markets, is 100 points up, indicating that Indian stock markets will also open with big gains.
How To Day Trade:
- World stock markets are showing a regional trend in this session.
- In Asia, major stock markets are mixed, Indian stock markets are expected to open up, US stock futures are rallying.
- So, day traders should focus on their local index and trade with its intraday trend.
- Overall, the bigger trend is range bound in global stocks so day traders should pay attention to important support and resistance levels.
- These could be minor or major Fibonacci levels.
- Buying near the support and selling near the resistance will be a suitable trading strategy in these market condition.
World stock markets are trading mostly positive at this hour. The intraday trend will depend on US stock futures. If these numbers continue to climb up, then global stocks will also add to their gains. However, if US stock futures will drop for any reason, world stock markets will follow that trend.