U.S job data to set a bounce in the market

Yesterday was a major bearish day for the U.S stock market. DJIA down more than 800 points after the close above 29,000. Non-farm employment data come out at 1371k vs. 1375k. The unemployment rate comes out at 8.4% vs. 9.8%. The job data number is better than the market expectation but there might not be change in the Fed outlook yet.

U.S stock market might start moving higher again under the current situation and target 29,000 also the all-time high.

Asian & European Stock market

The Asian stock market mostly lower today. Japan stock market down 260.10 points (-1.11%) to 23,205.43, China stock market down 29.61 points (-0.87%) to 3,384.98 and Australia ASX 200 down 187.10 points (-3.06%) to 5,925.50. The European stock market trade on the positive side. DAX Germany up 0.04%, FTSE UK up 0.55%, Euro STOXX 600 up 0.31%

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA reversed sharply yesterday and formed a bearish engulfing pattern. The downward movement brought the index down below 29,000 and close at 28,292.73. Today, there is bullish sentiment after the release of non-farm employment data. At the current time, DJIA futures up nearly 200 points and suggesting further upside today.

The index might start moving higher again and target a close near 29,000.

Yum Brands Inc (YUM)

YUM share prices have crossed above daily SMA 200 and reach the $100.00 resistance level. There is rejection from the resistance level but YUM maintains the close above $95.00. If the share prices could close above $100.00 then traders will expect further upside.

On the other hand, if YUM moves lower and manages to reach the daily SMA 200 then traders could consider adding long positions.