Stock futures flat after yesterday’s bullish close

The situation of the stock market is bullish before the Fed’s interest-rate announcement. This week, the Fed is expected to raise interest rates by 25 bps and plan for 1 more rate hike. If the stock market reacted bearishly after the interest-rate announcement then traders will make use of the chance to enter long positions. In 1-2 years, we think the stock market will turn bullish, and entering long positions this year might become the best idea.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index is mostly bullish ahead of the Fed FOMC meeting this week. The bullish situation happen because of the expectation that the Fed will stop raising interest rates. We might see bearish reactions after the Fed’s announcement which is normal. Traders could wait near the support level for bullish reactions and a chance to add more long positions in stocks. The overall trend has turned bullish for the long term, traders better stick to long positions compared to short positions.

Jetblue Airways Corporation (JBLU)

JBLU share prices have broken above the daily SMA 200 which means the trend has turned bullish. At the current time, the share prices are trading lower to retest the broken trendline. Traders will observe the share price reactions after the retest and the Fed interest-rate announcement this week. If the share prices could bounce from the averages then traders could add more long positions.