Stock futures were slightly higher on the last day of July

The stock market performs bullishly in July trading month which might signal an upward continuation for the rest of the year. At the current time, traders will continue to monitor the release of earnings releases and inflations data. If inflation numbers continue to cool then the upward movement in the stock market could continue. Traders will continue to use each bearish correction in the stock market to enter more long positions.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index made a bearish close with a bearish engulfing pattern. The awaited bearish correction might happen and traders will wait near the support level. The nearest support level is the horizontal line around 34,500 and the bullish trendline. When the index reaches support levels and forms bullish reactions then traders will have confirmation to enter more long positions in stocks.

Mastercard Incorporated (MA)

MA share prices printed a new higher swing high at $405.19 and currently undergo bearish correction. The share prices might extend the bearish movement to target the daily SMA 100 & 200. Traders could wait near the averages for bullish reactions to enter more long positions. We think the share prices could continue the bullish trend if it prints higher swing high and higher swing low.