Stock futures on backseat

U.S stock futures under pressure after fresh jitter from President Trump clouded Asian region. The President tell in Friday bilateral meeting with Japanese Shinzo Abe that “Big Problem” of North Korea Nuclear Test will be dealt. This sends fear into the market and pushes the Dow Jones Industrial Averages down almost 43 points. Gold quickly break above $1,260 and start shining under this global shakeout.

Following the news, Asian stock market end on mixed tone. On the other hand, European stock market reacted negatively to the news and retreated to negative zone except for FTSE UK which gains 0.41%.

Technical Analysis

Dow Jones Industrial Averages (INDU)

The index might not create new record high today after fear kick into the market. Aside from that, Core durable goods orders disappoint the market with -0.4% result vs. expected 0.4%. GDP outperform the market with 1.2% increase vs. 0.9% increase consensus. While it is uncertain, it looks like the market will stay defensive and wait for the development of the geopolitical issue.

Las Vegas Sands (LVS)

LVS is trading upward inside the bullish channel. Recently, the price hit daily SMA 50 and found support at the averages. If the price bounce higher, it will target the top of the channel and expected to continue its movement inside the white channel.

LKQ Corp (LKQ)

There are two possibilities for LKQ on the daily chart. The price has been in a downtrend since September previous year and moving inside the bearish channel. If the trend continues, the price should bounce from the top of the bearish channel and move downward.

The second scenario for LKQ is the bullish flag pattern on the daily chart. If the price break above the flag, it will break the daily SMA 200 also which turn the overall trend into bullish. Traders could wait for either scenario to play out and place position to the direction of the break.