E-mini DOW Futures Hit 30,000 On Vaccine Hopes - Forex News by FX Leaders
dow futures

E-mini DOW Futures Hit 30,000 On Vaccine Hopes

Posted Monday, November 9, 2020 by
Shain Vernier • 1 min read

For the first time in history, December E-mini DOW futures have hit the 30,000 psyche level. Heavy bidding ensued during the 6:30-7:00 AM EST half-hour as news from Pfizer and BioNTech suggested that a COVID-19 vaccine is on the way. Sources close to the clinical trials reported that the vaccine was 90% effective in the first 94 patients it was tested on.

U.S stocks have reacted positively to the news, led by huge gains in the DJIA DOW (+1200), S&P 500 SPX (+100), and NASDAQ (+72). In addition to Pfizer’s announcement, Democratic challenger Joe Biden was declared the new “president-elect” last Saturday. The announcement came as little surprise, as most vote counts favored Biden as of business close Friday. 

At press time, the Trump administration is legally contesting the election results in multiple states. Also, official ballot tallies continue in Arizona, Philadelphia, and Georgia. Subsequently, the razor-thin margins in these states may trigger automatic recounts. So, while Biden is the new president-elect, the final decision remains weeks out.

For December E-mini DOW futures, vaccine hopes are dominating sentiment. Let’s take a look at the daily technicals put today’s bullish breakout into context.

30,000 For December E-mini DOW Futures

Today’s breakout was an indication of just how much uncertainty was weighing on U.S. stocks. Now, with political and COVID-19 uncertainty residing, December E-mini DOW futures are entering uncharted waters.

December E-mini DOW Futures (YM), Daily Chart
December E-mini DOW Futures (YM), Daily Chart

Overview: As of now, U.S. stocks have pulled back significantly from this morning’s highs. For December E-mini DOW futures, it looks like consolidation around the 29,500 handle is a likely scenario for the rest of the day and maybe the week. Nonetheless, the trend is definitely up and sentiment toward risk assets is extremely positive.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Shain Vernier // US Analyst
Shain Vernier has spent over 7 years in the market as a professional futures, options and forex trader. He holds a B.Sc. in Business Finance from the University of Montana. Shain's career includes stretches with several proprietary trading firms in addition to actively managing his own accounts. Before joining FX Leaders, he worked as a market analyst and financial writer.
Related Articles
Comments

Leave a Reply

avatar
  Subscribe  
Notify of