Stock futures gain ahead of the FOMC rate decision
DJIA index is trading upward 133 points at the current time which indicates bullish sentiment heading into the Fed interest-rate decision. Traders and investors will monitor the policies and future outlook of interest-rate to determine the market sentiment. In the latest data, inflation continues to increase which might prompt the Fed for more aggressive policies.
We think the market still has more downside until the end of the year before it could turn bullish. Traders will stay cautious under the current situation.
Dow Jones Industrial Average (INDU)
DJIA index hanging above the daily SMA 50 and will attempt to continue the bullish correction toward the 32,500 – 33,500 area. Traders will continue to stick with the bearish scenario as long as the index stays below the area. On the lower side, the index needs to print a lower low to ensure the continuation of a bearish trend.
Eaton Corporation (ETN)
ETN share prices look trading inside a bearish channel. At the current time, the share prices are near the top of the range which means there is a chance for traders to enter short positions. No bearish rejection yet which mean the share prices might continue making bullish attempt above the channel.