US stocks on Wall Street bleeding out on potential Trump impeachment

• House Democrats have hurtled on Tuesday toward a consequential set of decisions about the potential impeachment of President Trump.
• Bears are targetting the 200-hour moving average below the 26500s.

A number of risk-off themes have developed in the US session which is weighing on risk assets, especially US stocks. We have seen the Dow Jones Industrial Average drop over 150 points from a high of 27079.70 to a low of 26764.50, -0.61% at the time of writing,  while the S&P 500 is down over 0.80% and losing 25 points compared to yesterday's close but down well over 40 points on the session. 

While flippant remarks from Trump over trade negotiations with China have been a major contributor to the fickle market sentiment of recent times,(just today, Trump was saying China hasn't adopted promised reforms), leaving investors in a state of flux and lading to volatility, the 'Trump impeachment' theme has come back to the fore, rearing its ugly head again and is a major concern for US investments sending stocks off a cliff. 

The New York Times reports on House Democrats hurtling toward Trump's impeachment 

The New York Times reported on the escalating situation and said House Democrats have "hurtled on Tuesday toward a consequential set of decisions about the potential impeachment of President Trump, weighing a course that could reshape his presidency amid startling allegations that he sought to enlist a foreign power to aid him politically."

"House Speaker Nancy Pelosi, Democrat of California, who has stubbornly resisted a rush to impeachment, appeared to be rapidly changing course, as lawmakers from every corner of her caucus lined up in favour of filing formal charges against Mr.Trump if the allegations are proven true, or if his administration continues to stonewall attempts by Congress to investigate them.

“We will be making announcements later,” she told reporters in the Capitol, declining to discuss her views on impeachment."

DJIA levels

The index had dropped back below the 4 and 21-hour moving averages last week but managed a score through this resistance before hurtling back to the downside yet again to print a fresh low since September 10th. The index is now below the 21-day moving average and bears have their sights on the 200-hour MA and then the 50 and then the 200-DMA - Further below lies the May and June lows on the wide in the 24700s as a double-bottom target.