Stock futures set to extend bullish gain after record high

The stock market rejoiced at the FOMC meeting results yesterday. The Fed decided to hold the rate steady, mentioning some hurdles on interest-rate cuts but seeing three rate cuts this year as planned. No change to this year’s plan, traders will continue accumulating long positions while awaiting for bearish pullback in the stock market to add more long positions.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index continued the bullish movement yesterday and printed a new record high on the chart. No stop to the bullish trend of the index yet and traders will continue awaiting for bearish correction to enter more long positions. Under the current situation, it is better to stay on the long side and avoid shorting the index.

Dollar General Corp (DG)

DG share prices crossed above the daily SMA 200 recently and seem to undergo a bearish correction. If the bearish correction manages to reach the daily SMA 200 and bounce from it then traders could add long positions. We think the bullish trend could continue as long as the share prices continue to maintain the positions above the averages.