Wallstreet Correction day

The Bull has dominated the market rallying from 18,000 to 19,000 without any significant pullback. Today, the Dow Jones Industrial Averages Futures down 49 points from the top and indicate lower open. The source of today slide might come from fear in OPEC production cut agreement which might not reach consensus. Analyst in the market mentioned $30 if OPEC failed to implement production cut.

Asian session mostly mixed with Nikkei and Australia ASX 200 fell, while China Shanghai Composite index was gaining ground today. In the European session, the market painted red as DAX Germany, FTSE UK, and Euro STOXX 600 all moving down.

Technical Analysis

Dow Jones Industrial Averages (INDU)

The market enjoyed higher close in the Dow Jones Industrial Averages, and the trend looks to continue in the medium term. However, today we might see a correction as the futures turn negative before market open.

18,950 – 19,000 will act as support if the price corrected near the area.

Cisco Systems (CSCO)

Earnings result could put the share prices of CSCO down, but the bear has yet to make a close below the daily SMA 200. Previous day candlestick formed a bullish engulfing pattern which might provide traders with a chance to place long position if the price break above the pattern.

SMA 50 & 100 is the target of upward movement and also low of price gap at $31.51

The Travellers (TRV)

TRV has broken sharply below its SMA 200 and recovered most of the losses in just a short time. The rally in price might face resistance at its SMA 200 and reversed the trend. However, if the price can close above the SMA 200, it might move up further with strong momentum.