U.S stock market to continue previous day bullish bounce
The stock market initially fell after the Fed Jerome Powell mentioned that the central bank will start roll-back their asset purchase which has supported the economy gradually. The bearish movement does not last as the stock of companies which expected to benefit the most in economic recovery start a bullish run.
Today, traders will expect the stock market to continue moving higher.
Asian & European Stock market
The Asian stock market mostly higher today. Japan stock market up 446.82 points (+1.56%) to 29,176.70, China stock up 54.74 points (+1.63%) to 3,418.33 and Australia ASX 200 up 33.60 points (+0.49%) to 6,824.20 . The European stock market also trade bullishly. DAX Germany up 0.70%, UK FTSE up 0.64%, and Euro Stoxx600 up 0.55%.
Dow Jones Industrial Average (INDU)
DJIA index bounced from the horizontal line around 32,000. The index bounce reaction has strong bullish pressure and is expected to continue its bullish trend. Today, the DJIA futures are up 136 points which indicate further bullish movement.
Under the current situation, traders could continue to hold long positions while waiting for a deeper bearish correction to enter more long positions in equity.
Peabody Energy (BTU)
BTU share prices have reached the daily SMA 100 & 200. It produces a bullish reaction yesterday and might be ready to bounce from the averages. Traders could use the moment to enter long positions with daily SMA 50 as an initial target.