More, more…DJIA demand

U.S stock market closed the week with a major almost 300 points breakout above 25,000 handles. On Monday, DJIA index futures clawed further 58 points before European market open. Two major milestones in just one year, will the index continue to the next milestone 26,000?

Similar to previous week analysis, there is no reason to cover or enter short position yet. Moreover, traders could continue to ride the rally until it is proven running out of steam.

Asian & European Stock market

Asian stock market extends gain at the start of the week. Nikkei up 208.20 points (+0.89%) to 23,714.53, Shang Hai Composite up 18.25 points (+0.54%) to 3,410.00 and Australia ASX 200 up 8.10 points (+0.13%) to 6,130.40. European stock market also traded higher. DAX Germany up 0.41%, FTSE UK down 0.03%, and Euro STOXX 600 up 0.26%.

Technical Analysis

Dow Jones Industrial Average (INDU)

The index has breached 25,000 handles with a wide advantage in the previous week. This week, the index expected to continue its upward movement or make retracement to test 25,000 handle. Under current momentum, it looks like 26,000 and higher might be reached soon.

Goldcorp Inc (GG)

GG once again at the intersection, the share prices currently sit at the daily SMA 200 and testing it. The share prices have failed several times breaking above the averages, will it manage to break higher this time? Traders might see GG launch above the averages following strength in the stock market and commodity prices at the start of the year.

Trading a break and retest of broken resistance might be the best idea to take.

Jetblue Airways Corp (JBLU)

JBLU managed to close above the daily SMA 200 and turn the trend into bullish. Currently, the share prices move down and ready to make the second test to the averages. Traders could look for a long position at the daily SMA 200 and ride the uptrend.