U.S stock market searching for direction before Powell’s second-day speech

The global stock market felt the jitter as U.S Treasury yield continues to increase sharply since the beginning of the year. Yesterday, Powell assured the market that the current inflation is still soft and below the Fed’s target. Moreover, the Fed chief pledge that the Fed will continue back the economy.

Today, Powell expected to deliver testimony before the House. Traders will continue to observe the testimony and gauge how the Fed will proceed if inflation continues to increase sharply.

Asian & European Stock market

The Asian stock market mostly lower today. Japan stock market down 484.33 points (-1.61%) to 29,671.70, China stock down 72.28 points (-1.99%) to 3,564.08 and Australia ASX 200 down 61.40 points (-0.90%) to 6,777.80 . The European stock market mixed. DAX Germany up 0.45%, UK FTSE down 0.49%, and Euro Stoxx600 up 0.21%.

Technical Analysis

Dow Jones Industrial Average (INDU)

There is hardly any change to the situation of DJIA yet, the index movement mostly influenced by Jerome Powell’s testimony this week. The Fed chief will give testimony for the second day today. We think a pullback in the DJIA index is reasonable toward the 30,000 or daily SMA 50.

Marvel Inc (MRVL)

MRVL share prices are trading in a bullish channel and are expected to continue its long-term bullish trend. At the current time, the share prices tested the bottom of the channel. Traders could use the bottom of the channel to enter long positions. However, if a bearish breakout happens then the nearest support level to watch is the daily SMA 200.