Boeing crash in Ethiopia to pull the market down

Another deadly crash on Boeing 737 max 8 happened yesterday shortly after the plane take-off. No survivor out of 157 passengers, same as the previous crash of Indonesia’s Lion Air which took the lives of 189 persons on the plane. Regulators around the world grounded all of the aircraft with the same series. Currently, Boeing (NYSE: BA) share prices down almost 10% and expected to drag the market down.

Asian & European Stock market

Asian stock market mixed. Japan stock market up 99.53 points (+0.47%) to 21,125.09, China Shanghai Composite up 57.13 points (+1.92%) to 3,026.99, and Australia ASX 200 down 23.60 points (-0.38%) to 6,180.20. European stock market is mostly higher. DAX Germany up 0.25%, UK FTSE up 0.75%, Euro STOXX600 up 0.31%.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA going to reach daily SMA 200 as the index futures pointed lower before market open. The overall situation is bearish and the index expected to be pulled down by Boeing (NYSE: BA). The share prices tumbled almost 10% after the deadly crash of Ethiopian airplane.

Will the bull manage to maintain the index above SMA 200 and bounce higher?

Lowe’s Companies (LOW)

It is a classical break and bounces from daily SMA 200 and the classic triangle pattern on LOW daily chart. We could expect a bullish bounce happen at the current level. However, the market might come under pressure today. It is possible for LOW to break below triangle and return before the market close.

Under Armour (UA)

UA has a bullish setup near the bottom trendline and daily SMA 200. Currently, the share prices maintain closes above the SMA 200. Traders could place long positions with a stop below SMA 50.