DJIA logs longest weekly losing streak since June 2011

  • The Dow DJIA added 95.22 points or 0.4%.
  • The S&P 500 index put on 3.82 points, or 0.1%, to 2,826.06.
  • Nasdaq Composite Index advanced 8.72 points, or 0.1%, to 7,637.01.

Following reports that President Donald Trump may ease restrictions against Huawei Technologies Inc. reviving the hopes in markets of a trade deal with China, Wall Street corrected higher into the last trading day of the week before the long weekend. The Dow DJIA,added 95.22 points, or 0.4%, to 25,585.69, while the S&P 500 index put on 3.82 points, or 0.1%, to 2,826.06. Meanwhile, the Nasdaq Composite Index advanced 8.72 points, or 0.1%, to 7,637.01. However, the DJIA, fell for a fifth week straight, logging the longest weekly losing streak since June 2011. 

Market drivers

Trump said Thursday that the U.S. could ease up on its ban against Huawei as “some part” of a wider trade deal with China although he reiterated the Chinese company was “very dangerous” from a security standpoint. As for data, durable goods were disappointing across the range of readings, -2.5% decline in April vs the -2.0% expected. Nondefense Capital Goods Orders ex Aircraft (Apr) arrived -0.9% vs -0.3% and the revised 0.3% prior - That was the first decrease in four months and follows a dismal PMI data release earlier in the week, adding to fears of a global slowdown which could be a potential weight to the indexes once traders return from a long weekend.

DJIA levels

The index ended the week in consolidation within a narrower range at around the 50% Fibo retracement of 10th May highs and 13th May swing low. While below the 26000 psychological target, (50% Fibo of May swing high low range), short term stochastics have corrected higher again as price recovers from the lows and a break above 50% Fibo and 25620s, the descending resistance could be a challenge ahead of the 61.8% Fibo and 25700s. To the upside, bulls would target an eventual break of 26000 opens the 38.2% Fibo target at 26126 ahead of the 26300s, around the Nov and Fed peaks. To the downside,  a break to the 25200s guard a run to 24500s and then 50% of the upside run made at the end of Dec at 24150. 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD holds onto gains around 1.1150 amid Brexit, trade headlines

EUR/USD is trading around 1.1150, holding onto gains. The common currency was swept higher with Brexit optimism and after China said concrete progress with the US. The USD remains on the back foot.


GBP/USD tops 1.30 amid upbeat Brexit developments

GBP/USD has topped 1.30, a fresh five-month high, as parliament is set to debate the detailed Brexit bill, with the EU ready to grant an extension. The DUP is set to reject a customs union amendment.


USD/JPY ticks higher, up little around mid-108.00s

The USD/JPY pair edged higher on the first day of a new trading week and is currently placed at session tops, just above mid-108.00s.


Gold: Sidelined near $1,490 after PBOC's rate decision

Gold's struggle for clear directional bias continues after the People's Bank of China's (PBOC) interest rate decision. The yellow metal has been restricted largely to a narrow range of $1,500 to $1,480 since last Monday.

Gold News

Top 3 price prediction BTC, ETH, XRP: Building on future profits

The trading week is kicking off with a continuation of the last week's scenario. The consolidation process continues and deepens, especially in the relationship between Ethereum and Bitcoin.

Read more