Stock futures flip-flopping near the 0 level

The situation of the stock market little changed today as the index flip-flopped near the 0 level. U.S ADP non-farm employment recorded a 145k increase vs. 210k estimates. The situation will bring more pressure on the Fed to stop hiking interest rates. When the Fed starts cutting interest-rate again this year it could become the confirmation of the new bullish trend in the stock market.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index extends the upward movement and will target the top trendline. A bearish reaction might happen when the index reaches the trendline. Traders will continue to monitor the index reactions near the top trendline. If the index could break out and close above the trendline then the trend will continue bullish. Meanwhile, a major bearish rejection might bring the index down to retest the daily SMA 200.

Mattel Inc (MAT)

MAT share prices trading upward in a bullish correction. In the latest bearish attempt the share prices printed a new lower low which means the trend might continue bearish. As long as the pair not printing a new higher high, the bearish trend will continue. A close above the previous swing high of $21.66 will become the bullish confirmation for a bullish reversal.