Daily Brief Financials: Bitcoin, MSCI Emerging Markets Index, S&P 500 INDEX, Road King Infrastructure, Merchants Trust and more

• At TMA we deliver high probability outcomes by focusing on our 3 pillars of technical analysis. 1) Response to key levels. 2) Price action. 3) Momentum confirmation.
• Bitcoin (XBTUSD) confirmed a meaningful top in the past 2 weeks when it rejected material MT resistance levels and completed a bearish weekly reversal pattern.
• With definitive bullish price and momentum triggers in play, we anticipate that a multi-week period of consolidation / correction will remain counter-trend. Searching for the next MT base towards 25200/25250. 

• At TMA we deliver high probability outcomes by focusing on our 3 pillars of technical analysis. 1) Response to key levels. 2) Price action. 3) Momentum confirmation.
• Throughout Q4 2022 / Q1 2023 each material turning point has been confirmed by a definitive weekly reversal pattern. Last week produced a definitive bearish weekly reversal pattern. 
• Long-Term charts imply that MXEF has entered a sustainable multi- quarter uptrend. Last week’s bearish weekly confirmation however, confirms risk of a further counter-trend correction in the coming weeks.

• Late April capitulation turn unfolding on the SPX trendline break and RTY wedge support breach. We turned bearish (shorting) on April 18 just under SPX 4,200.
• A number of breakdown coming through in Asia – Korea’s bear impulse and Taiwan’s break of trendline support that turns the cycle to bearish. Japan will lag.
• SPX MACD bear turn is in line with our late April bear phase. A cycle trough is due in 6 weeks time (second week of June).

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

• Road King Infrastructure

Simon Gergel at Allianz Global Investors has managed The Merchants Trust (MRCH) for the last 17 years. His disciplined fundamental investment process has proved to be a successful strategy as MRCH is ahead of its benchmark over the last one, three, five and 10 years. The trust’s NAV total returns also rank top out of 20 funds in the AIC UK Equity Income sector over the last three years. MRCH has a commendable dividend track record, having increased its annual payments for the last 41 consecutive years, and its yield is consistently above the level of the UK market. Gergel’s, and the board’s, confidence in the positive prospects for the UK market is illustrated by a higher level of gearing; the remainder of the trust’s debt facility was drawn down in November 2022.