U.S stock recover slightly after Thursday drop

The stock market might open higher today as traders re-assessing the Thursday sell-off. It is a healthy correction, as most major indices are hanging just below the record high. When the bearish pressure subside, we might see another bullish attempt to reach new record high, especially we are entering the earnings report season.

Technical Analysis

Dow Jones Industrial Average (INDU)

The index lose bullish pressure yesterday and pushed lower. No new lower low which mean the bearish pressure contained. However, if the index continues moving bearishly to end the week and print a new lower low, then the bearish correction toward daily SMA 100 will happen. Traders will observe the weekly closing level to get more confirmation.

TransUnion (TRU)

TRU share prices rejected from the daily SMA 100 and the trend line recently. It is moving toward the daily SMA 200 and almost reached it. Traders could wait for bullish reactions either near the trend line or the daily SMA 200 for a chance to enter long positions. We think the bullish trend of the share prices will continue as long as there is no close below the daily SMA 200 and new lower swing low.