Stock futures under pressure before the Fed FOMC

Traders are observing the earnings releases which are top estimated. However, the market seems reacting bearishly before the Fed FOMC meeting this week. Inflation numbers might continue to decline but the Fed might continue to maintain the strict policy. At the current time, a bearish correction might continue to happen in the market until the release of U.S. interest-rate. Traders will use the chance to enter long positions on a lower level.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index printed a bearish close yesterday which might become the confirmation of bearish movement toward daily SMA 50 & 200. Traders will wait for the index to move lower and react toward the support level. At the current time, the market is focusing on the Fed interest-rate decision which will happen this week. If the index could bounce from the level and breakout above the trendline then traders will expect a bullish continuation. On the other hand, if the index breakout and closes below the daily SMA 200 then we might see a bearish continuation.

MGM resorts International (MGM)

MGM share prices look trading inside a bullish channel. The upward movement currently reached the top of the channel and might start a bearish correction. When a bearish correction happens and reaches the support level then traders could consider entering long positions. Meanwhile, it is better to avoid short positions as the share prices have climbed above the daily SMA 200.