Trading Insights: Earnings season to drive stock indices
Chart 1 Source TradingView July 11th 2023 6:43 UTC
The above chart illustrates the multi-month performance of the US S&P 500 Index.
US corporate earnings season kicks off on Friday
Earnings season is when most of the US exchange-traded companies report to investors their latest financials. It's a key period for stock indices since the financial performance of these companies is a reflection of either the strength or weakness of the economy.
If a company reports strong earnings it is normally viewed as a positive event for the company and vice versa. If lots of companies are reporting strong earnings it's a sign of a strong economy.
High price action is typically expected around the time before and after a company releases its earnings report.
Below is the table of a few high profile US companies that are due to report earnings this week:
Source: Tradingview July 11 2023 6:53 UTC
The above table indicates the expected earnings per share estimate for the companies that are due to report.
Do you have an opinion on where financial markets are heading? Express your opinion and trade with CFDs.
Today’s economic calendar
Source: TradingView / J. Knobel July 11 2023 6:30 UTC
Wednesday July 14th - Reserve Bank of New Zealand (RBNZ) interest rate decision
- Expected to hold the rate at 5.5%
- NZDUSD in focus
Trading insights & strategy
UK wages surge while unemployment moved higher
that the unemployment rate is starting to increase. Higher earnings (wages) could annoy the BOE’s fight to bring down inflation.
Current price 1.2885 to restart uptrend after clearing above the 1.2850 resistance?
Multi-month higher tops and higher bottoms on price indicate an uptrend (dow pattern). Upside prospects towards the 1.32309 extension over the medium term (26-49 days) can not be ruled out, while downside risk below 1.27506 could expose the 1.2370 key support area.
Not investment advice. Past performance does not guarantee or predict future performance.
Oil prices have extended gains as supply shortages overshadow recession risks. EUR/USD, GBP/USD break support while stoc...
Chinese property giant Evergrande's default places additional pressure on stocks. Oil prices dip while US treasury yield...