U.S stock futures mostly flat near the high

DJIA index is taking the downturn while the S&P500 also Nasdaq reached new all-time highs. The performance of the stock market continues to be bullish this year but we have mixed signals. We might see the strong performance in the stock indices continue while the market awaits a rate cut by the Fed this year. Traders will stay cautious and use each bearish correction in the stock market as a chance to add more long positions.

Technical Analysis

Dow Jones Industrial Average (INDU)

The DJIA index has not shown a strong bullish movement after the recent bearish pressure. The index might continue lower to test the trendline and 38,000 handle. If the index breaks lower then the daily SMA 200 could become the bearish target to watch. Despite the bearish pressure, we might see the index stabilize near the current level, moving sideways before a possible year-end rally.

Dow Inc (DOW)

DOW share prices extend the bearish movement and will soon reach the daily SMA 200. Traders will monitor the share price reactions near the averages. If the price stabilizes and bounces from the averages, traders could enter long positions. However, if the share prices could not print a new higher swing high then the trend will continue to be bearish.

Yum Brands Inc (YUM)

YUM share prices look consolidating between the $134.5 – $141.5 range. It is not far from the bottom of the range and might bounce from it again. If the share prices could bounce upward then traders could enter long positions targeting the top of the range. However, if a bearish breakout and continuation happen then the daily SMA 200 will become the next target to watch.