By : Green Horizons
Green Horizons US Market Weekly Report
20/01/2025 – 24/01/2025
Jordan Daily – The U.S. financial markets are at a crossroads as we enter the trading week of January 20–24, 2025, juggling caution due to global uncertainty with optimism spurred by recent economic resiliency. Investors are keeping a careful eye on how the S&P 500, Dow Jones, and NASDAQ, three major market indices, react to changes in policy, business profits, and macroeconomic developments.
This analysis delves deeply into the market dynamics of the week, emphasizing significant moves, sector performances, and events. For knowledgeable traders and investors, the week holds both possible volatility and opportunity given the Federal Reserve’s remarks on inflation control last week and the forthcoming releases of economic data.
Let’s examine the factors influencing the markets and how to handle the challenges of the next week.
Technical Analysis
- S&P500 (SPX500):
Support Levels: 5800 / 5860 / 5923 A crucial support zone where the index has previously shown resilience.
Resistance Levels: 6044 / 6100 / 6145 Breaking past this level may signal continued upward momentum.
Latest Outlook: We have witnessed signs of recovery and an upward movement in this index following sharp declines observed in the previous period. This led prices to surge from 5770 to reach the 6015 level. To some extent, this upward movement can be considered an indication of the end of the bearish correction we experienced. However, caution must be exercised regarding certain points to confirm the direction of the upcoming movement.
Weekly Outlook: As we highlighted in last week’s report, the stabilization of prices above the 5800 level provided a positive outlook for the index, and the anticipated scenario has been successfully achieved. Currently, the stabilization of prices above the 5860 level further supports a positive outlook.
A clear break above the 6042 level, followed by closures above this level, will serve as a strong signal for an upcoming upward movement in the near term.
Buying opportunities have now emerged within the 5930 to 5870 range, with initial targets set at 5980, extending up to 6050. However, caution is advised regarding any clear break and stability below the 5800 level. A decisive break of the 5825 – 5800 range and trading below it will generate new selling and buying opportunities. Updates on new strong opportunities will be provided in our company’s private Telegram group.
Additionally, selling opportunities are currently available within the 5980 – 6030 range, targeting 5900 as the first level and 5870 as the second. And in the event of breaking the levels mentioned below, the targets could potentially extend to the 5725 level.
Russell 2000 (RUSS2000):
Support Levels: 2170 / 2215 / 2250 The existing support levels in place.
Resistance Levels: 2307 / 2350 / 2412 The index may experience upward momentum if it breaks through this resistance.
Latest Outlook: We have observed a decline in prices last weeks, followed by signs of recovery, which led to a price surge from 2160 to 2295. These levels are relatively strong and could potentially cause a price reversal to the downside.
Weekly Outlook: If prices continue to rise and break above the 2300 level, with subsequent stability above it, this would indicate positive upward momentum for the index in the near term. However, caution is advised in the event of any clear break below the recent low formed in the past few weeks.
Selling opportunities are available at the current levels of 2270 – 2295, targeting 2225 – 2200. Should prices stabilize below this range, the previous low will be targeted, as long as the 2300 level remains intact and unbroken.
The optimal buying opportunities lie within the 2185 – 2245 range, with targets at 2290 – 2325, provided the 2160 low remains unbroken and holds above.
- Dow Jons (US30):
Support Levels: 42185 / 42765 / 43020 A significant support level currently in place.
Resistance Levels: 43680 / 44100 / 44420 A breakout above this level would confirm the upward trend.
Latest Outlook: The Dow Jones index has experienced significant declines during the past few weeks, which led to a drop reaching the 41840 level. We had previously highlighted this decline and mentioned that the key level to determine whether the current corrective decline will continue or if the index will enter a completely new downward trend is the 41650 level.
Weekly Outlook: If the prices remain below the 43680 level, we cannot conclusively confirm that the index has provided clear signals for a return to upward movement. It is now essential to closely monitor price action at this level with caution.
Currently, strong selling opportunities are present in the 43400 – 43680 range, targeting 42900. Caution should be exercised if there is any clear break and stability above the 43680 level, as this would signal a strong indication of continued upward momentum, potentially reaching previous peak levels.
The best buying opportunities are found in the 41900 – 42300 range, targeting 42800 – 43100. Additionally, any clear break and stability below the 41770 level would signal a strong continuation of the downward trend.
- Nasdaq100 (US100):
Support Levels: 20300 / 20600 / 20970 A key support levels in case of additional declines.
Resistance Levels: 21655 / 21840 / 22035 A break of this level could signal the beginning of a robust upward trend.
Latest Outlook: We have also observed a decline in the Nasdaq index from the peak level 22139, gradually falling to 20475. During last week’s trading, the index rebounded, reaching 21475. However, caution is now required regarding certain key levels to better anticipate the upcoming movement.
Weekly Outlook:
We cannot definitively reconsider the index positively unless the 21655 level is broken and closed above. However, in general, stability above the 20800 level is somewhat positive.
Currently, short-selling opportunities are available near this level, provided it is not breached, with initial targets at 21180 and then 20900. If the 21655 level is broken, buying opportunities will emerge under certain conditions, which will be updated in our company’s Telegram group.
For join our telegram channel for daily market update, contact our admin @IICC55
- Gold (XAUUSD):
Support Levels: 2668 /2682 / 2695
Resistance Levels: 2725 / 2747 / 2763
Latest Outlook: Gold prices experienced relatively strong gains during last week’s trading, rising from the 2660 level to 2725., our outlook has been positive for the past three weeks, as we mentioned in our report last week, the best buying opportunities were at 2660, targeting 2701 – 2729. and the upward targets previously mentioned have been achieved.
Weekly Outlook: As always, we strive to provide clear and straightforward gold analysis, aiming to maintain this approach, especially in our gold analyses, as it remains a focal point for traders and investors alike.
We observe that gold prices have reached the 2725 level for the third time. In the previous two instances, this level acted as a very strong resistance, pushing prices downward by nearly $100. Therefore, extreme caution is advised around this area.
Nonetheless, our outlook for gold remains positive, and we anticipate it will return to the previous peak levels, at least in the short term. The best current buying zones are between 2676 – 2690, targeting initially 2714, followed by 2732 – 2746, Any clear break above the 2763 level, accompanied by sustained trading above it, will pave the way for a potential return to the previous peak.
Specifically for gold, we prefer to provide a single, clear weekly direction rather than offering multiple scenarios. The positive outlook will only be invalidated if there is a clear break below the 2657 level, which would signal a bearish sentiment for gold.
Please exercise extreme caution during this week’s trading sessions, as it is expected to be a relatively intense week due to the inauguration of U.S. President Donald Trump. Additionally, the signing of new geopolitical agreements may lead to significant shifts in trends and projections.
Weekly News
The week of January 20–24, 2025, could bring significant fluctuations in financial markets as investors brace for critical economic reports, corporate earnings updates, and geopolitical developments. Market sentiment may shift rapidly as key levels in indices, commodities, and currencies come under close scrutiny amid the unfolding events.
Monday (20/01/2025):
- Bank Holiday
Tuesday (21/01/2025):
- None
Wednesday (22/01/2025):
- CB Leading Index m/m: measures changes in a composite of 10 key economic indicators, including employment, consumer confidence, and housing. A reading above the forecast of -0.1% is typically positive for the currency. The index, updated monthly, is useful for predicting economic trends but usually has a limited market impact due to the timing of its components.
Thursday (23/01/2025):
- Unemployment Claims: counts the number of people who, within the last week, applied for unemployment insurance for the first time. Generally speaking, a value below the 220,000K prediction is favorable for the currency. Although its influence on the market fluctuates, it is a crucial economic indicator that is released once a week. Because consumer spending and labor market circumstances are closely related, it offers insights about the state of the economy.
Friday (24/01/2025):
- Flash Manufacturing PMI: Based on surveys of purchasing managers in the manufacturing sector, it calculates the diffusion index’s level. Industry expansion is indicated by a rating above 50.0, whilst contraction is suggested by a figure below 50. The impact of this early release, which comes around a week before the final edition, is frequently greater. Because it is a leading indication of economic health and reflects corporate sentiment as well as the status of manufacturing sector production, employment, and orders, traders keep a careful eye on it.
- Flash Services PMI: Based on surveys of purchasing managers in the services sector, it calculates the level of a diffusion index. Industry expansion is indicated by a reading above 50.0, whilst contraction is indicated by a figure below 50. Because of its timeliness, this early release—like the Flash Manufacturing PMI—usually has a greater impact. Because buying managers at companies provide insightful information on the state of the market, the report is regarded as a leading predictor of economic health.
- Existing Home Sales: With new construction excluded, it calculates the yearly number of residential structures sold in the preceding month. Generally speaking, a result that is greater than anticipated is favorable for the currency. The monthly value multiplied by 12 is the annualized format in which this data is presented. Because house sales affect many aspects of the economy, such as remodeling, mortgage transactions, and broker commissions, traders are interested in this indication.
- Revised UoM Consumer Sentiment: This gauges a composite index’s level based on a consumer survey. Generally speaking, a higher-than-expected outcome is favorable for the currency. Preliminary and revised copies of the statistics are provided every month, usually on the final Friday of the month. Since the preliminary release is the first accessible, it usually has a greater impact. Since consumer spending is a key driver of economic activity and financial confidence is a leading indication of consumer spending, this index is essential.
- Revised UoM Inflation Expectations: This gauge how much customers anticipate changes in the cost of goods and services over the course of the upcoming year. In general, a higher-than-expected outcome is advantageous for the currency. The data is made accessible in two versions: preliminary and revised, and it is usually provided on the last Friday of each month. Because it is the earliest, the preliminary release often has a bigger impact. Expectations of inflation are important because they have the power to affect actual inflation, especially when consumers demand higher salaries because they anticipate higher costs.
The week of January 20-24, 2025, is shaping up to be a critical period for U.S. financial markets, with several key economic data releases and events likely to influence market trends. earnings reports from major corporations could introduce volatility, while geopolitical developments, including the inauguration of U.S. President Donald Trump and new agreements, may cause significant shifts in market sentiment. Given the potential for market-moving surprises, traders should exercise caution and closely monitor these events, as they could offer key indications of the direction the U.S. economy will take in 2025.
- To join our Telegram channel for daily market updates, stay informed about the latest trends, and receive expert insights into the financial markets, simply reach out to our admin at @IICC55. By joining, you’ll gain access to exclusive market analysis, real-time trading signals, and the latest news, helping you make more informed decisions throughout your trading journey. Whether you’re a seasoned trader or just getting started, our community offers valuable resources to keep you ahead of the market. Don’t miss out on this opportunity- contact @IICC55 today and become part of our thriving trading community!
Feel Free to visit our site (www.ghva.tech), or contact us for more.
© 2024 GreenHorizons Velocity Assets Ltd. All Rights Reserved.
Disclaimer: The information provided in this report is for informational purposes only and does not constitute financial advice, investment recommendations, or an offer to buy or sell any securities. Jordan Daily, Green Horizons, and any affiliated advertisers disclaim all liability for any decisions made based on this report. Investors should conduct their own research or consult with a licensed financial advisor before making any investment decisions.