11 Jan, 2017 (8:49AM IST)
10 January 2017 (10:21 PM EST)
U.S. markets closed negative overnight, in spite of a healthy recovery in the initial hours. European markets traded positive but remained range bound. Leading European index DAX (Germany) is still facing stiff resistance from 11,620 level and Dow Jones is again restricting itself near 19,950.
Asian markets are mixed, U.S. stock futures are negative and SGX Nifty is high, but facing resistance at current range top level and globally, markets will be waiting for the U.S. president elect Donald Trump’s first press conference after winning 2016 election.
The turmoil in the U.S. politics is unprecedented and Trump’s road to presidency is covered with obstacles related to alleged Russian hacking of the U.S. presidential election, 2016. Everyday a new drama unfolds, new spy stories come out, creating an uncertain political atmosphere. Markets do not like uncertainty and no wonder U.S. markets are looking most depressed of the lot at this time.
Trump’s talks of fiscal stimulus, which triggered a global rally, will be focus of attention as far as financial markets are concerned and we may see a strong reaction in stocks- in any direction, based on what he says in his press conference later on Wednesday.
But that is hours away. Right now, the trend is mixed, choppy, range bound and is expected to remain so through the session.
Watch support and resistance levels of your local index and trade between those levels for short term trend.
Good luck, enjoy the session!