The party is over

Negative performance in Asian market today as U.S stock futures retreat. European market also shows mix performance before ECB and BOE chief speech. Deutsche Bank reported 1.9b EUR ($2.05b) loss in the fourth quarter, 1.6b EUR of the loss contributed by penalties imposed by the regulator. The report was worse than 1.57b EUR loss expected.

U.S dollar continues its slide after devaluation criticism in Germany, Japan, and China. It looks like President Trump determined to dismantle U.S dollar strength in short-term and possibly long-term. Weaker U.S dollar discourages import and inline with the President intention to impose a heavy cost on import.

The market today will observe news from Eurozone and UK, unemployment claims from U.S, and Caixin manufacturing PMI from China.

Technical Analysis

Dow Jones Industrial Averages (INDU)

Dow Jones Industrial Averages turn back inside the lower 19700 – 20,000 range consolidation. The slide happened after controversial executives order enacted by President Trump. Although the trend is still positive, the index might experience more pressure since leaders around the world disagree with the refugee ban implementation.

Paypal (PYPL)

The shares of Paypal visit its daily SMA 200, but this strong support might give way to the bear. There is bearish pattern form near the averages which is not favorable for the bull. As long as the stock can hold the price above SMA 200 and also its long-term bullish trendline, we may see PYPL bounce from the support.

Other Watchlist

KO – Bearish engulfing pattern from daily SMA 100, might continue lower if confirmed.

CB – the price gapped down and near its daily SMA 200, look for reaction at the averages.

BP – Stock is hovering near its daily SMA 100, look for a bounce.