On analysis of the movements of S&P 500 Futures in different time frames, I find that finally the steps taken by the U.S. President on Nov. 20th, 2019 may mean the trade talks are entering an endgame. This is a shift from my last analysis where fears of trade deal issues were mounting.
I find that the current statement from the U.S. President, once again after passing six and half months, when he repeated threats to increase tariffs against China if the two sides do not reach a trade deal soon looks evident enough to repeat the nose dive move in global equity markets; which have been constantly swelling amid growing hopes for a partial deal on Sino-U.S. tariff trade front.
On comparative analysis of the formation of an "Exhaustive Candle" in a daily chart of S&P 500 Futures on Nov. 21 looks like a clone of the formation on May 3; which was followed by steep sliding moves in S&P 500 futures during the month of May 2019. I find that this sequential repetition may finally going to repeat once again in the global equity markets; as both partners of Sino-U.S. tariff trade tussle look reluctant to move ahead since the U.S. Senate passing legislation backing Hong Kong protesters, that would ban the export of items like tear gas and rubber bullets to the city's police force, as conflict between the two sides escalated this week. Finally, the recent statement by the U.S. President Donald Trump may propel this sliding move well ahead in global equity markets.
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