The stock market pullback on rising geopolitical tension

The fear of middle east military confrontation dampens the rally inspired by The Fed dovish statement. On Thursday, President Donald Trump approved military strikes on Iran but canceled the attack on the last minuted. U.S officials said that their surveillance drone shot down by Iranian missile.

The overall sentiment of the market will continue bearish until the end of this week. Next week, the market will focus on U.S-China trade talks in G20 meeting.

Asian & European Stock market

Asian stock market mixed. Japan’s Nikkei down 204.22 points (-0.95%) to 21,258.64, China stock market up 14.86 (+0.50%) to 3,001.98, and Australia ASX 200 down 36.60 points (-0.55%) to 6,650.80. European stock market also mixed. DAX Germany down 0.18%, UK FTSE up 0.14%, Euro STOXX600 down 0.30%.

Technical Analysis

Dow Jones Industrial Average (INDU)

The index climb above its bearish channel and target all-time high. But, the upward momentum might recede today as the market taking the profit out of the market before the end of the week. If a bearish correction happens then DJIA expected to test the top of channel or 26,000 handles.

Delta Air Lines (DAL)

DAL share prices consolidate inside the triangle range. The share prices getting near the top of consolidation and ready to test the trendline. Without any change in the direction then DAL expected to continue inside the triangle pattern.

Duke Energy (DUK)

DUK has been under pressure and traded back and forth the daily SMA 200. We have a bearish trendline which limited the share prices from moving upward. There is an initial sign of upside breakout, will the bull follow-through by pushing the share prices higher?