US Stock market Technical Analysis May 12, 2020

China inflation miss, reopening of the economy under focus

Free $100 Forex No-Deposit Bonus

The global stock market under pressure in today’s trading session as China misses the inflation target. Analysts expected the country to record a PPI decline of 2.6% while the actual data show a 3.1% decline y/y. It seems the number will influence results from other countries too.

Meanwhile, DJIA futures lower 50 points at the current time and show a cautious mood. Traders and investors are waiting for the reopening of the economy and the result. Nothing much to expect at the moment, the sentiment could change radically depending on the progress of the reopening of the economy.

In Asia, more countries reported a surge in new coronavirus case which is not a good sign.

Asian & European Stock market

The Asian stock market mostly lower today after China miss the inflation target. Japan stock market down 24.18 points (-0.12%) to 20,366.48, China stock market down 3.25 points (-0.11%) to 2,891.56 and Australia ASX 200 down 58.20 points (-1.07%) to 5,403.00. The European stock market traded back and forth the bullish and bearish area. DAX Germany up 0.05%, FTSE UK up 0.51%, Euro STOXX 600 up 0.22%

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA situation show not much change as the index continue stick near 22,500 – 24,250 area. No bearish rejection from the 24,250 and there is no major breakout above the level. It seems the consolidaiton will continue for now inside the range. It is better to wait sideline until major reaction happen.

Qualcomm Inc (QCOM)

QCOM share prices has returned to the daily SMA 200 after it bounced from $58.00. The market current outlook is neutral as traders and investors waiting for the reopening of the economy. QCOM might get rejected from the averages and traders could short the share prices with daily SMA 50 as an initial target.

Copyright © 2020. All Rights Reserved. FXDailyReport.Com
Risk Warning: Trading CFDs is a high risk activity and you may lose more than your initial deposit. You should never invest money that you cannot afford to lose. will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets.