Stock futures building more bullish pressure to continue the rally

The upward movement of the U.S. stock market continues unstoppable after the previous week’s FOMC meeting. In the meeting, there was no cautious word again from Jerome Powell which could signal a rate cut in the upcoming year. Despite the situation, the upward movement might be too euphoric right now and might eventually start a bearish movement before holiday.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index bullish overshoot above the previous swing high. The index has not shown any sign of weakness yet, especially after the recent FOMC meeting. Nevertheless, the current upward movement has an extreme slope which means a bearish correction or a sideway movement might be due. Traders could wait for the index to start a bearish correction for a chance to enter long positions.

Kraft Heinz (KHC)

KFT share prices broke above the daily SMA 200 and printed a new higher swing high. The share prices might turn lower to test the daily SMA 200. Traders could use the chance to enter long positions when retests happen. On the lower side, the level around $35.00 and daily SMA 200 could become the focus of traders for a higher swing low.