U.S market weighing on Yellen departure

Fed chief Janet Yellen announces complete departure from The Fed in February on Monday speech. The position projected will be filled by Jerome Powell who is favored by President Trump. Yellen will stay on The Fed until her successor is sworn. The change of Fed chief is not to be underestimated as it might get tricky on policies under President Trump influence.

The market will focus on Yellen’s departure news and the slew of earnings reports. Dow Jones Industrial Averages up 47 points before market open followed by strength in Asia and Europe.

Asian stock market mostly up. Nikkei up 154.72 points (+0.70%) to 22,416.48, Shang Hai Composite up 18.69 points (+0.55%) to 3,411.09 and Australia ASX 200 up 17.85 points (+0.30%) to 5,963.52. European stock market also up. DAX Germany up 0.45%, FTSE UK up 0.18%, and Euro STOXX 600 up 0.26%.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA upward trend expected will continue today and challenge the record high this week. There is no change in analysis and traders could continue bullish on the index.

Johnson & Johnson (JNJ)

JNJ is an interesting stock to watch today. The share prices retreated from top $144.35 and reached its previous breakout point after the earnings report. The odds are high for the bull to return around $137.00 – $137.50 area. Traders could place long position order near the support area while observing price reaction. Another level to watch is between daily SMA 50 and 100.