Stock futures lower as traders prepare for key earnings results

The stock market might come under bearish pressure today as traders are observing the release of major earnings data. Amazon and Microsoft are among the companies which will report earnings today. Miss in earnings could pull the market down and prepare for a bearish movement in May. Traders might want to stay sideline and wait for the bearish movement to enter more long positions at a lower level.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA made another bullish close but not a significant bullish close. The upward movement of the index might continue to test the top trendline. No change to the ranging situation of the index between the daily SMA 200 and the trendline. Traders will continue to monitor the index reactions near the trendline. If the index experience bearish rejection then we might see another test on the daily SMA 200 and a chance to enter long positions in stocks.

Micron Technology (MU)

MU share prices look trading inside the triangle range shown on the chart. At the current time, the share prices are under bearish pressure and trade near the daily SMA 200. If the share prices continue lower then traders will wait near the trendline. A bullish bounce from the trendline might bring the share prices up to test the horizontal level.