Stock futures slightly higher ahead of NATO meeting

The stock market seems will stage a bounce today after yesterday’s bearish close. Traders and investors are observing the Ukraine-Russia situation and the Fed’s battle against inflation. Today, NATO leaders hold a meeting in Brussels to discuss more pressure on Russia. At the current time, the situation will continue with full uncertainties and traders might want to stay sideline.

No major economic data release until the end of the week which means the stock market situation will depend on the geopolitical situation.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index shows bearish rejection from the top trendline which is not out of expectation. The index futures are currently up 123 points which indicate no bearish continuation at the start of the trading day. Traders could start entering bearish positions in stocks with stops above the daily SMA 100 or 200. If the bearish pressure continues building with strong momentum then the bearish trend is set to continue.

Honeywell International Inc (HON)

HON share prices are in a bearish trend, traders will expect bearish rejection when the share prices reach a resistance level. At the current time, the share prices are trading near the daily SMA 50 and show a bearish rejection reaction. Traders could continue to use the averages as levels to enter short positions for now.