DJIA set for bearish day as Brexit deal breakdown and diminishing hope of trade-deal between U.S-China cloud the market
The breakdown of Brexit deal is imminent as Germany chancellor Angela Merkel told UK Boris Johnson that a Brexit deal “overwhelmingly unlikely”. Pound sterling comes under pressure against the U.S dollar today after the event. Aside from the imminent breakdown of Brexit talk. U.S – China trade negotiation also heading to the same route as Brexit.
On Monday, the U.S added top Chinese video surveillance company Hikvision to trade blacklist entity. The event might deter both U.S and China to reach agreements later in the trade talks which starts on Thursday.
Asian & European Stock market
Asian stock market moves higher. Japan’s stock market up 212.53 points (+0.99%) to 21,587.78, China stock market up 8.38 points (+0.29%) to 2,913.57, and Australia ASX 200 up 29.80 points (+0.45%) to 6,593.40. European stock slip, on Brexit uncertainties. DAX Germany down 0.93%, UK FTSE down 0.29%, Euro STOXX600 down 0.91%
Dow Jones Industrial Average (INDU)
DJIA down more than 250 today. The index set to target 26,000, trendline and daily SMA 200 on its lower path. If the index could maintain the position above the trendline then we could expect DJIA to consolidate between two trendlines shown on the chart.
Salesforce.com Inc (CRM)
CRM saw trading inside the bearish channel and currently testing a cluster of averages. Rejection from the averages or the top of the channel is a sign for traders to short the share prices. If CRM starts moving lower then it will target the bottom of the channel.