Stock market slightly lower on recession signal

Traders and investors are standing on the side to get more information on what the Fed will do next through the FOMC minutes of the meeting. On Tuesday, Deutsche Bank projected a U.S recession is looming, citing the Fed’s turn more aggressive to curb inflation. At the current time, major indices are trading lower but not far from the opening level.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index is trading near the 0 levels and the daily SMA 200. There is a bullish attempt but the index pushed to its opening level. At the current time, the consolidation is expected to continue near the averages and traders will wait for further reaction. If a major bearish rejection happens then traders will prepare for a long-term bearish continuation.

Marvell Technology Inc (MRVL)

MRVL share prices got rejected from the daily SMA 100 and turn lower. The share prices continue its bearish movement today and trade near the daily SMA 200. If the share prices could maintain the level above the averages then a bounce will happen then followed by consolidation between daily SMA 100 & 200. No higher high is printed yet on the chart which means the bear still has the upper hand.

If the share prices breakout below the daily SMA 200 with strong bearish momentum then the bearish trend can continue.