Weekly Updates 7/8/23 – 11/8/23 August 7, 2023

Weekly Updates  7/8/23 – 11/8/23

Weekly Updates  7/8/23 – 11/8/23

This weekly update is designed to help you stay informed and relate economic and company earnings to potentially value-add your CFD (Contract For Difference) trading via hedging (risk reducing). This article should be used for educational purposes only and not as financial advice. We urge all traders to carry out your own due diligence before submitting trades.

Recap for last week (31 Jul 2023 – 04 Aug 2023)

Weekly Updates  7/8/23 – 11/8/23*These prices are taken based on the previous Monday’s opening price and the preceding Friday’s closing price.

Last week’s market action revolved around Fed announcing a raise in interest rate by 0.25%, up to a 5.5% level which is the highest level as compared to the past 22 years. This shows that the Fed is standing on strong ground in battling inflation given that the year on year data of consumer prices are expected to still be increasing. As we seen that the hike has derailed the short-term bull run in all of the indexes.

Updates for the week (07 Aug 2023 – 11 Aug 2023)

The data below showing the economic releases read as “Analyst’s estimate/ Consensus | Previous data”.

Weekly Updates  7/8/23 – 11/8/23

This week’s macro news mainly focuses on the inflation data from the US and China. Given that interest rate has a delayed effect on the market, if US CPI YoY remains higher than the Fed’s long term target rate of 2%, the Fed might still continue to hike interest rate. However, with some contradicting sentiment from the PPI Final demand MoM is expected to rise, thus many investors are still on the sideline. For China, with the weakened demand from China’s trading partners, market participants are expecting China Trade Balance to fall further which supported by the evidence of falling exports to European Union by 12.92%. The weak exports and rising risk of deflation all points to slowing growth momentum in China.

Weekly Updates  7/8/23 – 11/8/23

This week’s corporate earnings release are mostly from retail brands ranging from travel industry to e-commerce to consumer staples. From the US, we have a mixture of companies releasing their earnings but most investors are laying their eyes on Alibaba group since the major restructuring in March this year. On the other hand, with recent hot topics revolving around green energy, investors are paying attention to Li Auto to gauge the demand for EVs as there were dramatic price cuts earlier this year. Many consumers played a wait-and-see attitude as they expects further discounts from EVs producers, thus with Li Auto earnings provide investors a forward guidance.

If you hold equity positions in these stocks, you can hedge your positions using CFDs to mitigate the risk of disappointing earnings releases.

For those looking to speculate or capitalize on the increased volatility, CFDs provide leverage and ease of going long and short across a broad range of products available.

Weekly Updates  7/8/23 – 11/8/23

China A50 Index: Possible Up-trend – by Jun Yuan

Weekly Updates  7/8/23 – 11/8/23

Key Entry Price Pivot(s):

  • 13,300

Recommended Trade:

  • Long above 13300, take profit at 13630/14260, stop loss at 13000

Alternative Case:

  • Short below 13000, take profit 12400, stop loss at 13300


  • China A50 Index had recently broken out the downtrend channel.
  • On 02 Aug 2023, China A50 Index pulled back and found a support at 13000. A strong bullish bar formed the next day.
  • We could potentially look to take a long trade on the China A50 Index since a strong bullish bar has already formed at the support level to continue the uptrend moving ahead.

Weekly Updates  7/8/23 – 11/8/23

GBP/USD approaches 1.2800 as US Dollar remains under pressure

Weekly Updates  7/8/23 – 11/8/23

Recommended Trade:

  • For short term trade, stay Long above 1.2700 handle, take profit at 1.2850, stop loss at 1.2670.

Alternative Case:

  • For longer term trade, short after price action pulls back to above 1.2800 handle, take profit at 1.2550, stop loss at 1.2880.


  • GBP/USD climbed toward 1.2800 on Friday supported by a weaker US Dollar across the board. The pair is still down for the week but it is off weekly lows, largely supported by a soft US jobs data report spurring speculations the Fed might end its tightening cycle.
  • Technical analysis indicates potential for short-term gains but highlights the importance of 1.2800 resistance. Last Thursday’s price action formed a doji (point of indecision), but Friday’s bullish candlestick remains shy of completing a ‘morning-star’ bullish candlestick pattern, which could indicate further gains in the near term.

If you have any feedback or questions, feel free to email us at samht@phillip.com.sg or onishathyeyn@phillip.com.sg or cfd@phillip.com.sg.


This material is provided to you for general information only and does not constitute a recommendation, an offer or solicitation to buy or sell the investment product mentioned. It does not have any regard to your specific investment objectives, financial situation or any of your particular needs.

Accordingly, no warranty whatsoever is given and not liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of your acting based on this information. Investments are subject to investment risks.

The risk of loss in leveraged trading can be substantial. You may sustain losses in excess of your initial funds and may be called upon to deposit additional margin funds at short notice. If the required funds are not provided within the prescribed time, your positions may be liquidated.

The resulting deficits in your account are subject to penalty charges. The value of investments denominated in foreign currencies may diminish or increase due to changes in the rates of exchange.

You should also be aware of the commissions and finance costs involved in trading leveraged products. This product may not be suitable for clients whose investment objective is preservation of capital and/or whose risk tolerance is low.

Clients are advised to understand the nature and risks involved in margin trading. You may wish to obtain advice from a qualified financial adviser, pursuant to a separate engagement, before making a commitment to purchase any of the investment products mentioned herein. In the event that you choose not to obtain advice from a qualifies financial adviser, you should assess and consider whether the investment product is suitable for you before proceeding to invest and we do not offer any advice in this regard unless mandated to do so by way of a separate engagement.

You are advised to read the trading account Terms & Conditions and Risk Disclosure Statement (available online at www.poems.com.sg) before trading in this product. Any CFD offered is not approved or endorsed by the issuer or originator of the underlying securities and the issuer or originator is not privy to the CFD contract. This advertisement has not been reviewed by the Monetary Authority of Singapore.

About the author

Sam Hei Tung (Dealing) and Onisha Thye (Dealing)

Sam graduated from National University of Singapore with a Master of Science in Finance. He personally manages his own investment portfolio and does equity and economic research in his free time. Sam believes that education and information is essential to making good financial decisions.

Onisha is a dealer at the CFD Dealing Desk. She graduated from Monash University with a double major in finance and econometrics. Her natural curiosity for finance is what drove her to be in this field as she is fascinated by all the possibilities and opportunities that are available to grow one’s wealth, either through trading or investment.

No Related Market Journal.

Contact us to Open an Account

Need Assistance? Share your Details and we’ll get back to you


This material is provided by Phillip Capital Management (S) Ltd (“PCM”) for general information only and does not constitute a recommendation, an offer to sell, or a solicitation of any offer to invest in any of the exchange-traded fund (“ETF”) or the unit trust (“Products”) mentioned herein. It does not have any regard to your specific investment objectives, financial situation and any of your particular needs. You should read the Prospectus and the accompanying Product Highlights Sheet (“PHS”) for key features, key risks and other important information of the Products and obtain advice from a financial adviser (“FA“) pursuant to a separate engagement before making a commitment to invest in the Products. In the event that you choose not to obtain advice from a FA, you should assess whether the Products are suitable for you before proceeding to invest. A copy of the Prospectus and PHS are available from PCM, any of its Participating Dealers (“PDs“) for the ETF, or any of its authorised distributors for the unit trust managed by PCM.  

An ETF is not like a typical unit trust as the units of the ETF (the “Units“) are to be listed and traded like any share on the Singapore Exchange Securities Trading Limited (“SGX-ST”). Listing on the SGX-ST does not guarantee a liquid market for the Units which may be traded at prices above or below its NAV or may be suspended or delisted. Investors may buy or sell the Units on SGX-ST when it is listed. Investors cannot create or redeem Units directly with PCM and have no rights to request PCM to redeem or purchase their Units. Creation and redemption of Units are through PDs if investors are clients of the PDs, who have no obligation to agree to create or redeem Units on behalf of any investor and may impose terms and conditions in connection with such creation or redemption orders. Please refer to the Prospectus of the ETF for more details.  

Investments are subject to investment risks including the possible loss of the principal amount invested. The purchase of a unit in a fund is not the same as placing your money on deposit with a bank or deposit-taking company. There is no guarantee as to the amount of capital invested or return received. The value of the units and the income accruing to the units may fall or rise. Past performance is not necessarily indicative of the future or likely performance of the Products. There can be no assurance that investment objectives will be achieved.  

Where applicable, fund(s) may invest in financial derivatives and/or participate in securities lending and repurchase transactions for the purpose of hedging and/or efficient portfolio management, subject to the relevant regulatory requirements. PCM reserves the discretion to determine if currency exposure should be hedged actively, passively or not at all, in the best interest of the Products.  

The regular dividend distributions, out of either income and/or capital, are not guaranteed and subject to PCM’s discretion. Past payout yields and payments do not represent future payout yields and payments. Such dividend distributions will reduce the available capital for reinvestment and may result in an immediate decrease in the net asset value (“NAV”) of the Products. Please refer to <www.phillipfunds.com> for more information in relation to the dividend distributions.  

The information provided herein may be obtained or compiled from public and/or third party sources that PCM has no reason to believe are unreliable. Any opinion or view herein is an expression of belief of the individual author or the indicated source (as applicable) only. PCM makes no representation or warranty that such information is accurate, complete, verified or should be relied upon as such. The information does not constitute, and should not be used as a substitute for tax, legal or investment advice.  

The information herein are not for any person in any jurisdiction or country where such distribution or availability for use would contravene any applicable law or regulation or would subject PCM to any registration or licensing requirement in such jurisdiction or country. The Products is not offered to U.S. Persons. PhillipCapital Group of Companies, including PCM, their affiliates and/or their officers, directors and/or employees may own or have positions in the Products. Any member of the PhillipCapital Group of Companies may have acted upon or used the information, analyses and opinions herein before they have been published. 

This advertisement has not been reviewed by the Monetary Authority of Singapore.  


Phillip Capital Management (S) Ltd (Co. Reg. No. 199905233W)  
250 North Bridge Road #06-00, Raffles City Tower ,Singapore 179101 
Tel: (65) 6230 8133 Fax: (65) 65383066 www.phillipfunds.com