Silent day with Wallstreet

This week started by the failure of Renzi to secure votes in Italian referendum that leads the market down but quickly recovered and printed new high. The market shrugged off the Italian referendum news for now, but it seems the problem will grow into widespread issues in Eurozone.

Today there is no major news to watch from U.S region. The market might continue its advance but with limited momentum. U.S dollar index climbed from 100 low and might start its new rally from this level.

Technical Analysis

Dow Jones Industrial Averages (INDU)

No change in the course of Dow Jones industrial averages as the index stays inside the upward projection lines. The futures little changed before market open, down 2 points and indicate sideway market today.

Alibaba Group (BABA)

BABA back near its uptrend line and provide the bull with the opportunity to place long position. The only problem with the setup is the long bearish candle proceeding the bullish candle. If the price can close lower than the trendline, it might find support near the SMA 200 and bounce toward broken trendline before continue moving down.

If bounce happens, traders want the price close higher than the long bearish candle or the SMA 100 around $96.60 – $97.00.

Dupont (DD)

One of the bullish stock DD encounters its resistance at the top of the channel. The price might reverse the course of the trend, but there is a possibility the bull will push through the resistance and continue higher. Recent three bearish candlestick is tiny compared to the long bullish candle reaching the top of the channel.

The target of down move is the lower part of the channel.