Stock futures stay on the positive side, looking to extend the bullish gain
The stock market situation continues with a lot of uncertainties as inflation is not under control yet. Recently, the Fed Jerome Powell mentioned the possibility of the U.S economy entering a recession. The Fed chief also mentioned another 75 bps rate hike next month. Quantitative tightening will continue this year which should bring the stock market further lower.
Traders might want to continue to stay cautious for now while waiting until the inflation number is under control.
Dow Jones Industrial Average (INDU)
DJIA index nearing the resistance area where a bearish reaction might happen. DJIA futures currently trading up 64 points, retracing part of the earlier gain. If the index trade is lower and makes a bearish close then traders will prepare for a bearish continuation. Under the current situation, it is better to stick with the bearish scenario until a new higher high printed.
First Solar Inc (FSLR)
The bearish pressure on FSLR share prices seems managed to push the price down and is now higher high printed. At the current time, the support level is located at $60.00, and no major breakout below it yet. We might see the share prices continue consolidating between the $60.00 support level and the daily SMA 100.
Traders could use the daily SMA 100 as a reference level to take short positions.