Week 34 Market Roundup —Vertical supply absorption in S&P 500

In Week 33 market roundup as mentioned last Sunday, S&P 500 went through supply absorption with decreasing supply pending breakout higher. Last Wednesday (19 Aug 2020) S&P 500 had a reaction right after the breakout on Tuesday with increasing supply. Yet subsequent price action showed no follow through to the downside with two attempts to go down lower on Thursday and Friday. The results were two high close with demand tails, suggested vertical supply absorption. This context is similar to 30–31 Jul 2020’s with some minor difference such as the supply level and the volatility are lower. S&P 500 is expected to push through beyond 3400 in an uncharted territory.

Check out last week market analysis video series below if you haven’t or would like to reflect on how last week unfold together with your preparation and analysis:

Stock Watchlist — Malaysia

As anticipated, after Week 33 sharp reaction as profit taking, last week majority of the stocks in Bursa Malaysia had recovered significantly.