Stock market set to tumble as coronavirus death toll continue to increase

The death toll of coronavirus has raised to 80 and there are nearly 3,000 confirmed cases in China. Fear continue spread across the global market and no remedy to the situation yet. China’s health minister said the virus could spread before any symptoms show. The statement made the situation become further uncertain as it will be hard to track down people who contract and spread the virus.

DJIA futures down more than 300 points at the current time. Expect further weakness when the market opens and the following days as fear continue to shroud the world.

Asian & European Stock market

The Asian stock market dive today. Japan’s stock market down 483.67 points (-2.03%) to 23,343.51, China stock market closed for Lunar new year and Australia stock market closed for Australia day. The European stock market also sharply lower. DAX Germany down 1.41%, UK FTSE down 1.53%, Euro STOXX600 down 1.38%

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA closed the Friday trading session with major bearish momentum. The index expected to continue its downward movement this week following the breakout of coronavirus in China. Fear clouded the market as the virus also spread across the world. If there is no improvement in the situation then DJIA expected to continue its bearish correction.

Yum Brands Inc (YUM)

YUM rejected from the daily SMA 200 and formed a lower close on the Friday trading session. The share prices might continue lower following the global market weakness after coronavirus spread. If YUM moves lower then traders will observe the share prices reaction near $100.00 handle.