Stock futures under pressure after stronger-than-expected ADP data

The release of ADP non-farm employment today surprised the market as the number increased double more than expected. ADP non-farm recorded a 497k increase vs. 160k expectation. Based on the number, we might see stronger-than-expected NFT data tomorrow. Traders might want to brace for a bearish pullback and prepare to enter more long positions at a lower level.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index is building more bullish pressure to extend the current bullish trend. However, the index might trade under pressure today as the ADP non-farm data show major strength which hints at a strong job data release tomorrow. If the index continues moving lower then it will retest the broken trendline to look for a bounce. We still think the index will continue the bullish trend and maintain a bullish outlook.

Blackberry LTD (BB)

BB share prices look back in a bullish trend as it reclaims the daily SMA 200. A bounce has happened and the share prices printed a new higher high. However, BB is currently under bearish pressure and might retest the daily cluster of averages. Traders will observe the share price reactions near the averages and the trendline. When there are bullish reactions, traders could enter long positions.