The Dow Jones Industrial Average (DJI) is looking decisively bearish ahead of its cash open. The chart below shows the US30, FXCM's CFD for the DJI. Its trend-following indicators have crossed bearishly (black ellipse), with the shorter green EMA below the slower orange EMA. Of concern, the stochastic is below 20 (blue arrow). This area is indicative of solid momentum, albeit to the downside. The longer the stochastic remains at these levels, the more pressure is applied to the hourly chart. Russia and Ukraine's foreign ministers met today in Turkey. However, the discussions were largely unproductive and lasted less than two hours. They failed to achieve a cease-fire or an agreement of safe passage for civilians trapped in Mariupol. As such, the fighting continues to rage on, and the closer a potential stagflationary environment is.
Senior Market Specialist
Russell Shor joined FXCM in October 2017 as a Senior Market Specialist. He is a certified FMVA® and has an Honours Degree in Economics from the University of South Africa. Russell is a full member of the Society of Technical Analysts in the United Kingdom. With over 20 years of financial markets experience, his analysis is of a high standard and quality.