U.S stock market set to trade under bearish pressure

The bearish pressure on the stock market will continue as the market stay on the defensive. Traders and investors feared that rising inflation and the Fed tightening will put stop to the growth. There is no change to the bearish situation which could continue until the end of the year. Traders will continue to stay cautious especially ahead of the Fed’s next FOMC meeting.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index made a flat close in yesterday’s trading session. No change to the bearish situation yet as the index has formed a major bearish formation. At the current time, the DJIA futures are trading lower and indicate further weakness. Traders will continue to stick with the bearish scenario for now until the index climb above the bearish pattern high.

Mattel Inc (MAT)

MAT share prices look trading inside a triangle formation and currently waiting for a breakout from the range. A bearish breakout might be in favor as the global stock market situation is bearish for now. However, a triangle consolidation could break out either way. Traders will wait for a breakout and close outside of the range to enter positions.