DJI Analysis: Weak US economic reports bearish for DJI

September 23, 2020

By IFCMarkets.com

Weak US economic reports bearish for DJI

US economic data in the last week were weak. Government debt soared in the second quarter, current account deficit widened in Q2, economic activity slowed in August, however consumer sentiment improved in September. Thus the US federal government debt soared 58.9% to $22.58 trillion in the second quarter, after 11.4% gain in the first quarter. US current account deficit widened to $170 billion from $111.5 billion in the first quarter. The Chicago Fed’s national activity index, which reflects overall US economic activity, fell to 0.79 in August from 2.54 in the prior month. On the positive side the University of Michigan’s preliminary reading of its consumer sentiment index in September rose to 78.9 from 74.1 in August. And the lawmakers cannot agree on the scope and size of additional aid program for the economy as Federal Reserve’s chairman Powell told it’s up to Congress to provide aid to some troubled companies. Weak economic data are bearish for DJI.

Indicator VALUE Signal
RSI Sell
MACD Sell
Donchian Channel Neutral
MA(200) Buy
Fractals Sell
Parabolic SAR Sell

 

Summary of technical analysis

Order Sell
Buy stop Below 26709.3
Stop loss Above 28358.9

Market Analysis provided by IFCMarkets.com

InvestMacro

Share
Published by
InvestMacro

Recent Posts

The Tech‑heavy NASDAQ Index jumped by more than 3.3%. The offshore yuan is trading at its highest level since 2023

By JustMarkets  On Thursday, the US stock indices posted strong gains, fully recovering from the…

2 days ago

USD/JPY After Volatility: Multiple Events in One Day

By Analytical Department RoboForex USD/JPY recovered to 160.60 on Friday following a sharp drop the…

2 days ago

A government fund of AI stocks to benefit all Americans is a good idea, but hard to pull off

By Patrick J. Schena, Tufts University  Creating a government fund to own AI stock and…

3 days ago

The US indices sell off amid renewed US-Iran clashes. Oil jumps by 7%

By JustMarkets The US equity indices ended Wednesday’s session with notable declines as geopolitical risks…

3 days ago

USD/JPY Temporary in Equilibrium: Multiple Factors in Focus

By Analytical Department RoboForex USD/JPY held near 163.50 on Thursday, with the yen retreating slightly…

3 days ago

GBP/USD at Month’s Lows: The Outlook Remains Weak

By Analytical Department RoboForex GBP/USD continued to consolidate at 1.3283 on Wednesday. The British pound…

4 days ago

This website uses cookies.