DJIA futures slightly higher after previous week record high

U.S stock market might open higher today following the bullish streaks that happen the previous week. More earnings results were released this week and there is no reason to become bearish yet. Last week, China’s Evergrande paid bond coupon, buying more time before the next major payment which is on Friday. The news is rejoiced by the market and provides hope that the company will avert the current debt crisis.

Traders will wait for the next FOMC meeting which will provide a better clue on the future outlook.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index printed a new record high at the end of the week and will continue its upward movement for now. We have an earnings season that easily shows above the expected result as economic recovery on the run. However, future guidance is lowered as the world is facing scarcity and supply disruption. Today, DJIA futures are higher 20 points and indicate a bullish opening but a bearish correction soon might happen when the earnings season slowed.

Dollar Tree Inc (DLTR)

DLTR share prices are at an interesting place for reactions. We have rejection and a bearish gap in the previous test. If we have another major bearish reaction from the averages then we will see a bearish leg similar to the previous bearish movement. Traders will monitor closely the reaction from daily SMA 200.

JD Com Inc (JD)

JD share prices broke above the daily SMA 200 and continue its upward movement. It undergoes bearish correction and might retest the daily SMA 200. Traders will observe the pair reaction near the daily SMA 200 and the bottom trendline. A major bullish reaction from either support level is a bullish confirmation for long positions.