Dow Jones
The Dow Jones futures trade slightly lower in ahead of the opening of the last trading day of the quarter. The sentiment is mixed today as the number of new coronavirus cases continues to rise in some states in the USA. On the other hand, positive news from China supports the fast recovery scenario. The China manufacturing purchasing managers’ index (PMI) rose to 50.9, up from 50.6 in May, and better than economists expectations of 50.4. The non-manufacturing PMI rose to 54.4, better than expectations of 53.6.
Investors will monitor Federal Reserve chair Jerome Powell and Treasury Secretary Steven Mnuchin’s testimony before the House Financial Services Committee.
Apple 5G iPhone shipments in 2020 may come weaker than expected, according to some analysts they estimate about 15 to 20 million units this year compared to a prior estimate of 30 to 40 million. TESLA Returns Above $1000 On Elon Musk’s Break-Even Optimism. Micron trades over 5% higher in premarket after the announcement of better-than-expected results. Micron reported a profit of 0.82/share, topping expectations of 0.77. The Revenues rose to $5.44 billion, also beating the forecasts of $5.31 billion.
Dow Jones futures are 0.25% lower at 25,434. The S&P 500 futures are 0.18% lower at 3,042, while Nasdaq futures are 0.07% lower at 9,966.
Dow Jones Daily Levels to Watch
Dow Jones ended 2.32% higher at 25,595 after the index tested and bounced from the 50-day moving average. The index rejected several times the last two weeks at the 200-day moving average. The short term picture has improved after yesterday’s gains, but the long term outlook remains bearish below the 200-day moving average.
On the upside, first resistance for the Dow index stands at 25,601 the high from yesterday. A move above 25,601 might open the way for a test of 25,027 the high from June 24. If the bulls continue then the next supply zone for the Dow Jones is at 26,274 the 200-day moving average.
On the flip side, immediate support for Dow Jones index is at 25,096 the low from yesterday. Next support for the Dow Jones will be met at 24,952 the 50-day moving average. A break below 24,952 might open the way for a test of 24,755 the 100-day moving average.