Dow slumps on downbeat US data, earnings reports
The Dow Jones fell about 500 pips since opening of US session and registered losses of 900 points since Asian session start.
The index was hit by downbeat US retail sales data which showed record monthly in March, with more bad news to come as today’s data did not present the full impact of the COVID 19 lockdown; strong fall in US industrial production, as numbers showed worse monthly fall from those seen during 2008/9 recession and sharp falls in earnings at the US biggest banks.
Weakened sentiment threatens of deeper pullback, along with the fourth consecutive upside rejection at 23900 zone.
Daily stochastic formed bearish divergence and is emerging from overbought zone, with significant loss of bullish momentum, contributing to negative signals in nowadays headlines-driven markets.
Res: 23886; 23958; 24891; 25152
Sup: 22966; 22526; 21983; 21699