Index Weekly Wrap for the Week of Mar 13

Summary of content for the week of Mar 13:

1. Week 11 major indexes performance;
2. Week 11 US sector indexes performance;
3. Major indexes weekly charts of support and resistance levels;

Many global Stock markets enter into bear markets after market collapsed. Bear market by definitely is a fell for 20% or more from their recent high. Refer to below table.

U.S
U.S stocks finished sharply lower and entered into technical bear-market territory as SPX fell 20.1% from their recent high to Friday close, despite U.S stock biggest rally in one day since Oct 2008 financial crisis. The collapse is mainly attributed to COVID-19 spreading globally and crude oil price crisis. All three major indexes rallied more than 9% on Friday, after Trump declared a national emergency as a result of the COVID-19 outbreak, unlocking funds and initiatives to help in combat against the virus, and potentially ease some of the economic stress.

The biggest uncertainty among many is the impact of the pandemic, and investors do not like uncertainties this caused panic selling. U.S stock suffered most serious collapses since the "Black Monday" in 1987, triggered circuit breaker not once but twice within three days, dropped 7% during trading hour. 

The outlook for U.S stocks will depends on how virus been contained, while the only certainty is uncertainties, do expected market volatility remain high. The fear index VIX spiked up to above 50, extremely high. However, panic definitely is not a strategy to cope current situation, I remain my previous point that the virus impact will be meaningful but short term, the virus will be over. market will get back to normal. The event actually provide historical opportunity for investment. 

Stock sectors hit the most will be Travel, Hotels. As crude oil is sinking, oil related ETFs in focusing: #USO.N #DBO.N and USL.N

China/HK
China SSE index dropped 4.85% this week but appears very resilient as compare to other global markets. HSI as always have more impact from global financial markets, dived into bear market. Technically, HSI rebounded to its 61.8% fib level 24000 on Friday, immediate sppt at 23000 to 22500 area. 

Singapore
STI briefly hit 10-yr new low and rebounded on Friday as bargain buyer scooped up oversold blue chips. Watch immediate technical support level at 2510.88 in coming week(s).