U.S stock futures rising after yesterday’s bearish close

The stock market is set to open higher today after suffering two days of bearish closes. Despite the current bullish build-up, traders will stay cautious as the market will focus on the Fed interest-rate decision next month. We might see a temporary halt in the bearish pressure several days forward but prepare for a full-blown bearish continuation before the Fed FOMC meeting.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index extend the bearish movement and reached the daily SMA 50. At the current time, the index future is higher than 115 points which indicates a bounce from the averages. If the index trade upward then it will test the level around 32,500 – 33,250. Bearish reactions from the area will confirm bearish continuation.

Yelp Inc (YELP)

YELP share prices broke above the daily SMA 200 which indicate a bullish reversal. After the breakout, the share prices slowly moved lower and almost reached the daily SMA 200. When a test on the average happens, traders will observe bullish reactions. Strong bullish reactions will confirm bullish continuation and a chance for traders to enter long positions.