Strong job data to boost the U.S stock market
The economic recovery continues to gain traction as shown in the latest job data. Non-farm employment data recorded a gain of 559k vs. 671k. The number missed analysts’ expectations but it is a major improvement compared to previous numbers which recorded a 266k increase.
Traders and investors believe that strong numbers might trigger tapering by the Fed. However, the reported numbers might be at a safe zone where it will prompt the Fed for more observation before changing policies.
Asian & European Stock market
The Asian stock market mixed. Japan Stock market down 116.59 points (-0.40%) to 28,941.52, China stock market up 7.63 points (+0.21%) to 3,591.84 and Australia ASX 200 up 35.30 points (+0.49%) to 7,295.40. The European stock market moving higher after U.S job data. DAX Germany up 0.14%, UK FTSE down 0.06%, and Euro STOXX600 up 0.22%
Dow Jones Industrial Average (INDU)
DJIA index has not made any major bearish correction from the top. The index seems to maintain its level and is set to continue moving upward today. The DJIA futures currently trading higher more than 91 points. No change yet to the outlook, as long as the index continues moving upward, there is no reason to become bearish on the stock market yet.
Delta Airlines Inc (DAL)
DAL share prices seem under pressure. It is moving lower below the daily SMA 50 and soon will reach the daily SMA 100. In the previous downturn, the share prices could bounce from the horizontal line shown on the chart. We think the share prices will find support near the daily SMA 100 or the horizontal line again.
Traders could enter long positions near both support levels.