S&P 500

  • With a sharp correction on COVID fears, we look for the selling pressure to ease before assessing the timing to buy.
  • For deeper corrections, medium-term bulls will now be looking to build another higher low between 4550/4625.
  • Q3 earnings season has been a strong positive influence on the outlook for S&P 500.


  • A decisive breakout above $1834 is an outlook-changing move and we look for targets towards $1900.
  • Holding back above $1780/$1800 support will help to rebuild the positive outlook.
  • Gold continues to be strongly negatively correlated to US “real” bond yields. With real yields struggling due to high inflation, this helps to support gold.

Proctor & Gamble

  • Brokers cutting price targets since the results:

        -Berenberg cuts price target to $146 (from $162)

        -JP Morgan cut its price target to $164 (from $167)

        -Deutsche Bank cuts its price target to $160 (from $163).

  • Q1 results came in marginally above estimates. Earnings of $1.61 per share beat the $1.59 forecast by consensus. However, there are headwinds from the higher costs of commodities. Guidance for FY2022 remains unchanged.
  • Building from the key $138/$140 support area maintains the bullish medium to longer-term outlook.
  • We see weakness as a chance to buy.