U.S stock market dip after core PCE data

The core PCE data which is the favorite inflation tracker by the Fed show rising number. It indicates that there won’t be any rate-cut soon as inflation start ticking upward again. The rising number causes sell-off in the stock market today. If the bearish pressure gaining momentum toward the closing hour, then traders will expect more bearish movement in the upcoming week.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index bounced lower from the daily SMA 200. It seems the trend has turned bearish now as the movement has strong momentum. If the index continues lower and print new lower swing low, then the bearish continuation confirmed. On the other hand, if the index could bounce upward and recover above daily SMA 200 immediately, then the situation could turn bullish again.

Fiserv Inc (FI)

FI share price’s bullish trend seems waning as it form a should-head-shoulder pattern. If the pattern confirmed by bearish breakout, then the bearish target will be around $175 – $180.00. However, if the share prices could bounce upward and print higher swing high, then the pattern will be cancelled, and it might form an ascending triangle pattern.