The stock market was slightly bearish before Jerome Powell testimony

Traders and investors seem turned cautious before Jerome Powell’s testimony. The Fed chief expected to provide an outlook when the Fed might start rolling out the current loose policies. Despite the stronger-than-expected earnings result, the DJIA futures are currently lower by more than 150 points.

It is better to continue to observe the market sentiment after the testimony today before deciding on what to do.

Asian & European Stock market

The Asian stock market mixed. Japan Stock market down 329.40 points (-1.15%) to 28,279.09, China stock market up 36.09 points (+1.02%) to 3,564.59 and Australia ASX 200 down 18.80 points (-0.26%) to 7,335.90. The European stock market is mostly lower. DAX Germany down 0.97%, UK FTSE down 0.76%, Euro STOXX 600 down 0.68%

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index is on the verge of printing a new record high. The index has not shown any major bearish reaction near the all-time high. Today, the DJIA futures are lower by more than 150 points which indicates a weak opening. Despite the bearish sentiment, traders will continue to avoid short positions and stick with a bullish outlook for now.

Big Lots Inc (BIG)

BIG share prices broke below the SMA 50 & 100. It continues moving lower and almost reaches the daily SMA 200. If the share prices could maintain the position above the averages and bounce from it then we might see a new bullish leg forming.