DJIA: US stocks continue to rise
Major US stock indexes began the month with
a slight increase. Investors are waiting for the monthly US labor market report,
which will be published in the 12:30 (GMT). This report is extremely important in the evaluation of
prospects for the dollar and the US stock market, as the sustainability
the US economy, the largest in the world.
On Thursday, US stock indexes rose thanks
a series of positive macro data. According to a published report Thursday
US Department of Commerce, costs and incomes of Americans in July grew quite
expenditure price index for personal consumption (PCE) rose by
1.4% compared to the same period the previous year. Income Americans in July
It increased by 0.4% compared to June, which was the strongest growth since February.
Americans have a large amount of money in the next few
months in advance, which can have a positive impact on GDP growth.
ADP data for August, characterizing the level of
Employment in the private sector of the US economy, also came out better than expected,
indicating the labor market approaching full employment.
At the same time, there was controversial in the US economy
situation: the growth of consumer spending, coupled with a drop in unemployment
It indicates a fairly fast and stable economic growth. However, inflation
It is still slow, below Fed target level of 2%.
The labor market data block US investors in particular,
interest rate of wage growth, on which it will be possible to judge the
the prospects for monetary policy in the coming months. although unemployment
It is low and there is a stable job creation,
wages have long been rising at a moderate pace.
Due to low inflation space for rate hikes in
The Fed is running low.
According to futures on the federal funds that
monitors the CME Group, investors assess the probability of a rate hike by the end of
Yet, the general state of the US economy inspires
optimism, causing investors an incentive to buy higher-yielding riskier assets.
This is evidenced by many months
the bullish trend of the US stock market.
And if today’s publication of US labor market data
will also be a positive close to the estimates, the US
stocks continue to rise.
*) Advanced fundamental
analysis is presented on the company website Tifia Forex Broker in
Support and resistance levels
DJIA maintains positive momentum and continues to grow
ascending channel on the daily chart, aspiring to the level of 22177.0 (highs of the year
Relevant long positions. Only in case of breakdown of important
Support levels 21800.0 (EMA200 on 4-hour chart), 21700.0 (EMA50 and
the lower line of the rising channel on the daily chart), you can revert to the
short positions on the DJIA.
Indicators OsMA and Stochastic on the 4-hourly, daily
charts are on the side of buyers.
In case of breaking the support level of 21700.0 can to reduce
become support levels 20750.0 (EMA200 on the daily chart), 20630.0 (level
Fibonacci 23.6% correction to an increase in the wave with the level of 15660.0 after recovery
in February this year to the slump in the markets since the beginning of the year. Maximum
this wave and Fibonacci level is 0% near the mark 22177.0). levels
20750.0, 20630.0 thus are key to long-term bovine
Support levels: 21800.0, 21700.0, 21500.0, 21300.0, 21000.0, 20750.0, 20630.0
Resistance Levels: 22060.0,
Buy Stop 22050.0. Stop-Loss 21950.0. Take-Profit 22177.0,
Sell Stop 21950.0. Stop-Loss 22050.0. Take-Profit 21800.0, 21700.0, 21500.0,
21300.0, 21000.0, 20750.0
*) Relevant and detailed
analytics and news on the forex market, see the company’s website tifia.com Tifia Forex Broker
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