U.S stock market ready for bearish close at the end of week
The strong performance reported by Amazon yesterday seems could not lift the market. U.S DJIA futures currently lower 173 points and might continue moving lower before the market opens. Traders and investors seem careful while interpreting the Fed FOMC meeting result this week.
On the inflation ground, it seems the Fed will wait further until the 2% threshold is reached before they start unwinding the loose policies. The stock market might trade bearishly today but overall it may close the week not far from the record high.
No reason yet to become bearish but traders will prepare for a possible bearish correction.
Asian & European Stock market
The Asian stock market mostly lower. Japan stock market down 241.34 points (-0.83%) to 28,812.63, China stock market down 28.04 points (-0.81%) to 3,446.86 and Australia ASX 200 down 56.50 points (-0.80%) to 7,025.80. The European stock is also lower. DAX Germany up 0.06%, UK FTSE down 0.09%, and Euro STOXX600 down 0.25%
Dow Jones Industrial Average (INDU)
DJIA index continues hanging near the all-time high which means there is no change to the outlook of the index yet. It could continue moving upward to print new record highs. Alternatively, it could start a bearish correction to test 33,000 handles too.
Traders could stay bullish in the stock market for now while expecting a pullback to happen.
Paypal Inc (PYPL)
PYPL share prices managed to bounce from the bottom of the channel and reach the top of the channel. The share prices currently trading near the daily SMA 50 and might move lower for a bearish correction. If the share prices make a bearish correction then traders could continue to to use the bottom of the channel for long positions entry.
Fundamentally, cryptocurrency adoption by the company might trigger a major bullish movement in the share prices. Traders will continue to to monitor the development on the cryptocurrency side while waiting for a better level to enter long positions.