FPG USTEC Market Report January 6, 2025

The USTEC index has recently shifted from its dominant bullish trend observed since November 2024. After reaching a peak of 21741.70, the index failed to break through the resistance and has since declined to approximately 21285.82, indicating potential bearish momentum.

On the weekly timeframe, USTEC's inability to surpass the 21741.70 resistance level led to a reversal, bringing the index down to its current level around 21285.82. The Bear Power indicator registers a value of -172.87, suggesting increasing selling pressure. A critical diagonal trendline lies just below the current price; a breach of this support could signal the onset of a prolonged bearish trend. Traders should monitor the index's interaction with this trendline closely, as a sustained move below it may confirm a bearish reversal.

Market Observation & Strategy Advice:

1. Key Support Level: Diagonal trendline near 21100.

2. Key Resistance Level: 21741.70.

3. Bearish Continuation: A break below the diagonal trendline could indicate the beginning of a longer-term bearish trend.

4. Trading Strategy: Consider short positions if the index closes below the trendline, with stop-loss orders placed above recent highs to manage risk.

Market Performance:

Indices Last Price % Change

S&P 500 5942.46 +1.26%

Dow 30 42732.14 +0.80%

Today's Key Economic Calendar:

US: FED Daly Speech

EU: HCOB Composite PMI Final

AU: S&P Global Service PMI Final

Risk Disclaimer This report is for informational purposes only and does not constitute financial advice. Investments involve risks, and past performance does not guarantee future results. Consult your financial advisor for personalized investment strategies.