Dow Jones Futures: A Comprehensive Overview of Market
06 Jun 2023
US stock futures fall amid recession worries
Dow Jones futures fell early Tuesday.
Dow Jones industrial average futures fell 40 points or 0.1%
US stock futures fell on Tuesday on concerns about slowing economic growth after dismal data on Monday. Against this backdrop, investors are adjusting their expectations for the Federal Reserve’s interest rate hike next week.
The 10-year Treasury yield fell 1 basis point to 3.68 percent. Crude futures fell more than 2%, now well below levels seen before Saudi Arabia announced an unexpected output cut on Sunday.
Keep in mind that overnight activity in Dow futures and elsewhere may not translate into actual trading in the next regular trading session.
Optimism that swept markets and sent stocks higher after last Friday’s stronger-than-expected U.S. jobs report faded — largely after the release of ISM services data that gave poor signs of the health of the U.S. economy.
The weak data led to growing expectations that the central bank will refrain from raising interest rates at its meeting next week, with the odds now just 24.5 percent, down from 30.5 percent at the end of last week,” said Jim Reid. said Strategist at Deutsche Bank. “Finally, markets are increasingly buying the idea that the Fed will skip the June meeting before another hike in July.”
DOW JONES TECHNICAL ANALYSIS DAILY CHART:
Dow Jones is currently trading in the down channel.
Dow Jones is currently trading above all SMA.
RSI is in buying zone which suggests bullishness and Stochastic is suggesting up trend.
Immediate resistance is at 33624.70 & its immediate support level is 33488.68
HOW TO TRADE DOW JONES IN THIS WEEK
The Dow Jones traded down, but the price began to rise at the moment when the Dow Jones makes a rising flag-like pattern and is trading at the resistance zone, if this zone is broken, an increase in price is expected.