US OPEN: Wall Street mixed on lockdown concerns

• US stock opened mixed
• Lockdown fears weigh on market sentiment
• Foot Locker (FL.US) stock plunged despite upbeat quarterly results

US indices launched today's session in mixed moods, with the Dow Jones falling more than 100 points and the S&P 500 trading in the red while the Nasdaq rose slightly to new ATH, as concern over a Covid-19 resurgence weighed on global markets. Austria announced a full lockdown and Germany considers a similar move due to the increasing number of cases. Investors are also keeping an eye on President Joe Biden’s pick for the next Federal Reserve chair, which he is expected to unveil by the weekend. So far this week, the blue chip Dow is down 0.6%, on pace for its second negative week in a row. The S&P 500 and the tech-heavy Nasdaq Composite are headed for modest gains, up 0.5% and 0.8% this week, respectively. Over 80% of the S&P 500 companies reported better-than-expected earnings so far, according to Refinitiv. 

US30 broke below the lower limit of the triangle formation which coincides with 23.6% Fibonacci retracement of the last upward wave.  If current sentiment prevails, downward move may accelerate towards support at 35275 pts which is marked with 38.2% Fibonacci retracement and 200 SMA (red line). On the other hand, should a break above 35725 pts occur, then another upward impulse may be launched. Source: xStation5

Company news:

Foot Locker (FL.US) stock slid more than 6.0% in the premarket despite the fact that athletic footwear and apparel retailer posted solid quarterly results. Net income decreased to $158 million, or $1.52 per share, from $265 million, or $2.52 per share, in the same period last year. Excluding non-recurring items, adjusted earnings per share increased to $1.93 from $1.21, well above the market estimates of $1.37. Sales increased by 3.9% to $2.19 billion, above analysts' projections of $2.15 billion, while cost of sales fell 1.9%. However, the company said it expects global supply chain constraints to persist through this quarter.

Foot Locker (FL.US) stock broke above the upward trendline and 200 SMA (red line) on Thursday, however the upward move turned out to be short-lived. Stock launched today's session with a bearish price gap following the release of the quarterly figures. Price broke below the support at $53.25 which coincides with 38.2% Fibonacci retracement of the last downward wave. Next target for sellers is located at $49.90 which is strengthened by 23.6% Fibonacci retracement and 50 SMA (green line). Source: xStation5

Dillard’s (DDS.US) stock rose over 3.0% before the opening bell after the department store operator announced a $15 per share special dividend, payable on December 15 to shareholders of record as of November 29.

Farfetch (FTCH.US) stock plunged more than 21% in premarket after the online luxury fashion marketplace operator posted a narrower-than-expected quarterly loss. Revenue figures came in below market expectations. The company also gave disappointing adjusted earnings guidance.

Applied Materials (AMAT.US) stock dropped over 5.5% in premarket after semiconductor equipment maker reported weak quarterly results. Company earned $1.93 per share, slightly below analysts' estimates of  $1.94 per share. Revenue also failed to beat market projections. Additionally the company presented a weak current quarter guidance amid supply shortages of certain components.