Global macro overview for 11/09/2018

On Monday, Wall Street kept in mind the threat of Donald Trump, who said on Friday that if China did not make concessions, US would impose the remaining 267 billion USD of Chinese imports on customs. Macro data were not published, so only the geopolitical impulses were important. The upside for the stock market was that Republicans are planning to present their next tax cuts this week. This is obviously a prelude to the elections to be held in the US 6.11.

The downside was Donald Trump's other tweet, where he wrote, "Apple's prices may rise due to the massive tariffs we can impose on China." But there's an easy solution where ZERO would be taxed. Make your products in the United States instead of China. "That reduced Apple's stock price.

Wall Street began the session with an increase in indices, which basically began to slide down. NASDAQ even turned red for a moment. The closer to the end of the session, the bolder the demand became. Lack of the president's decision regarding duties on imports from China supported the bull camp. The indexes ended the day with small increases, but relying on President Trump's decision is a very risky game.

Let's now take a look at the SP500 technical picture at the H4 time frame. The market has broken above the blue trend line and now is trading around the level of 289.37. The momentum remains positive, but not that strong and the market conditions are still far from being overbought, so another spike up is on the table. The next target for bulls is seen at the level of 289.90 and then 290.10.

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