Bear Emerge before end of week

U.S stock market finished higher on Thursday, but the bullish movement will put to a halt as DJIA futures dropped 73 points before the trading bell. The market will wait on CPI data release today at 8.30 AM, and a low inflation number will decrement rate-increase sentiment more.

Today is the third Friday of the month and will mark expiration day for futures also options. The price movement might be weird and have tendencies to get to nearest strike prices.

Technical Analysis

Dow Jones Industrial Averages ($DJI)

DJIA stuck inside the boxes area, no change since the start of this week, and market undecided on directions until next week Fed interest rate decision. Simply said it is a draw between The bull and the bear with two up vs. two down.

Kroger (KR)

We have two charts for Kroger; the first one is the 1Y daily chart and second is the 3Y daily chart. On the first chart, we have price moved inside two trendlines, and previous day candle shows a bullish engulfing pattern. The bullish engulfing candle might be a good sign for short term bounce.

On the second chart, we can see to the left, there are two spike candles, drawing support from the level tell us price currently near this level.

Note: Although a bullish position is good, it is a lot better to wait for short position near upper trendline as KR is in a bearish trend.

Verizon (VZ)

Verizon is showing bullish engulfing candle from SMA 200. Movement in share price might be influenced by AAPL movement as VZ have bundled package with iPhone 7. The pattern might successfully reach the trend line, observe how price reacts at that level to determine if the bullish trend will continue.

Note: only trade the break of the engulfing candle.