DJIA futures drop, following crude oil movement

Crude oil prices down from $20.00 handle and reach $15.00 today. The downward movement in the crude oil prices stings U.S futures as DJIA futures down more than 100 points.  Last week, the market rejoiced in the positive response from remdesivir treatment on coronavirus.

If the cure has been found then the market sentiment will turn positive. However, recent economic data releases show severe damage to the economy. Without an improvement in the situation, we might see another downturn in the market.

Asian & European Stock market

The Asian stock market mixed. Japan’s stock market down 228.14 points (-1.15%) to 19,669.12, China stock market up 14.06 (+0.50%) to 2,852.55 and Australia ASX 200 down 134.50 points (-2.45%) to 5,353.00. The European stock market open higher. DAX Germany up 0.42%, FTSE UK up 0.40%, Euro STOXX 600 up 0.28%

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA bullish correction continues and the index closed near 24,237.52 Fibonacci retracement level. The index has the potential to continue higher and test the daily SMA 50 also 25,000 handles. However, at the current time, the index futures are lower more than 100 points which suggests possible bearish movement today.

Similar to the previous analysis, the index range currently spans between 22,500 – 24,250.

Ball Corp (BLL)

BLL share prices upward correction has reached the daily SMA 200 where it reacted bearishly at the first test. At the current time, the share prices retesting the averages and close near it last week. If the share prices could break and close above the averages then BLL might continue its upward movement. On the other hand, if a break followed by another close below the averages then BLL set to resume its bearish movement.