U.S stock futures gaining after softer than expected ADP job data

ADP job data show 152k numbers compared to 170k expectations. It signals softer than expected Non-farm employment data which will be released on Friday. Traders rejoicing on the data release which could push the Fed to consider rate cuts earlier. However, inflation numbers also stay at a high level in the latest result. If the inflation numbers turn lower in the next report then traders will expect rally in the stock market.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index is looking to add gain and trade above the daily SMA 100. We might see the continuation of upward movement soon which will mark the start of a new bullish leg to challenge the latest swing high. However, if the index experiences bearish pressure and manages to print a new lower swing low then the trend will turn bearish for medium term.

Energy Transfer (ET)

ET share prices are in a bullish trend and currently undergoing a bearish correction. It tested the daily SMA 100 and produced a bullish pin bar pattern. However, the current bearish movement happened after a new lower high on the chart. If the share prices continue moving lower and print a new lower low on the chart then we might see a short-term shift from bullish trend to bearish. Nevertheless, as long as the share prices could bounce from the support level, traders could enter long positions with a stop below the previous swing low.