U.S stock on red side as China said no trade talk yet

Yesterday bullish situation brought the index higher, however, the market decides to trim the gain and erase big part of the gain. Despite the situation, traders are turning positive as trade talk between U.S. and China could happen soon. On the other side, President Trump also confirmed that he has no intention to fire The Fed Jerome Powell. It helps to calm the market and trigger bullish sentiment. However, the next sentiment will depend on the trade talk development between U.S-China.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index has gap on either side where it will be closed in the future. The question is which one will be closed first. There is bullish sentiment today which might suggest upward continuation to close the upside gap before the index turn lower again to close the lower gap. On the upside, a close above daily SMA 200 will give confirmation of trend reversal.

Upwork, Inc (UPWK)

UPWK share prices is currently trading near the daily SMA 200 and might produce reactions. At the current time, there is an “Inverted SHS” pattern, where a bullish breakout will turn the trend from bearish to bullish. Traders could use the area between $10.00 – $13.00 to accumulate long positions. Placing a stop order below $8.8 or $8.2 might be the best idea, assuming that bullish movement has potential to return to $18.00 level.