U.S stock futures jumped on possible Trump’s tariff compromise

Yesterday, we experience bearish pressure on the stock market as President Trump affirm that tariff on Mexico & Canada will go through. However, today we get another hint that the President might roll back the tariff policy. Volatility will continue stay at high level for now. It might be the best to wait until the actual word come out from President Trump himself. Under current situation, traders will stay cautious and plan two scenarios whether tariff goes through or tariff rolled-back.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index extended the bearish movement and now getting near the daily SMA 200. The index is expected to reach the averages and produce bullish reactions. If the index could bounce upward with strong bullish momentum, then it will form a higher swing low. We maintain bullish outlook on the index as long as the index stay above the daily SMA 200.

Hasbro, Inc (HAS)

HAS share prices turned lower after the earnings gap. The bearish movement happened as the market reacted bearishly toward President Trump’s tariff. At the current time, the price is trading below the daily SMA 200 and near the gap close level. After the gap filled, we might see some reactions. If the share prices could bounce upward and close above the daily SMA 200 immediately, then traders will get confirmation to add long positions.