U.S stock futures lower after S&P500 & Nasdaq record high

Yesterday the stock market index hit new record high. The event happens in the S&P 500 and Nasdaq. At the current time, the index futures traded lower. DJIA futures down around 40 points before the market open. The market can start a bearish correction.

In the Asian session, China boosted the stock market by cutting the loans prime rate. The 1-year loan prime rate is lowered 10 points while a 5-years prime rate lowered 5 points.

Asian & European Stock market

The Asian stock market mostly higher after China cut loans prime rate. Japan’s stock market up 78.45 points (+0.34%) to 23,479.15, China stock market up 54.75 points (+1.84%) to 3,030.15 and Australia ASX 200 up 17.90 points (+0.25%) to 7,162.50. The European stock market also traded mix. DAX Germany down 0.06%, UK FTSE up 0.07%, Euro STOXX600 down 0.29%

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA traded higher in the previous trading day and might attempt to continue upward to print new fresh high. At the current time, there is no change to the outlook yet. DJIA expected to continue upward and test 30,000. However, traders and investors might want to exercise caution as coronavirus impact on the economy will be reported next month.

Deere & Co (DE)

DE share prices corrected lower after the test of trendline and SMA 50 & 100. The share prices will test the horizontal support level and the daily SMA 200. If DE could maintain the position above both support levels then it might bounce and target the top trendline.

On the other hand, if a major bearish close happens below the averages then it is time to switch to bearish positions.