American Integrity's 15-minute chart has triggered a downward shift in market sentiment, as the 20-day simple moving average has turned downward, indicating a change in control from buyers to sellers and a short-term downward price pressure.
American Integrity's 15-minute chart has triggered a downward shift in market sentiment, with the 20-day simple moving average (SMA) turning downward. This change signals a potential shift in control from buyers to sellers, indicating short-term downward price pressure.
The downward movement of the 20-day SMA is a key indicator that market participants are becoming more cautious. This trend is supported by recent market surveys and sentiment analyses. According to the latest "C50 Direction Index" survey by Cailian Press [2], market expectations for new RMB loans in May stand at 600 billion yuan, down 35 billion yuan year-over-year (YoY). This suggests a cautious approach to credit expansion, which could contribute to the bearish sentiment observed in the 15-minute chart.
Moreover, the survey indicates that new aggregate financing in May may increase YoY, with a median forecast of 2.32 trillion yuan, up 260 billion yuan from the same period last year [2]. This increase is primarily driven by government bonds, which are expected to remain the main contributor to aggregate financing.
Market participants also anticipate a relatively stable Consumer Price Index (CPI) in May, with a median forecast of -0.2% YoY. However, the Producer Price Index (PPI) deflation may widen further, with a median forecast of -3.3% YoY [2]. These expectations suggest a potential downward pressure on prices, which could be contributing to the bearish sentiment observed in American Integrity's 15-minute chart.
The downward movement of the 20-day SMA is a clear signal that investors should be cautious and monitor the market closely. While the short-term outlook may be bearish, it is essential to consider the broader economic trends and the potential impact of fiscal policies on market sentiment.
References:
[1] https://www.facebook.com/groups/638877447575159/posts/greed-in-trading-may-ruin-entire-capital-market-is-subject-to-risk-and-not-suita/1260043345458563/
[2] https://news.metal.com/newscontent/103363591/C50-Market-Sentiment-Index-Survey:-New-Social-Financing-in-May-May-Increase-YoY-with-M2-YoY-Growth-Rate-Expected-to-Continue-Rebounding
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