Nasdaq and S&P500 advances following strong quarter by Nvidia

The stock market is set to trade in a mixed manner today following the strong performance by Nvidia. S&P500 futures advance 0.53% while Nasdaq futures jump 1.88% before the market opens. At the current time, DJIA futures are down 114 points or 0.35%. The tech sector might become the major performer before the debt-ceiling deadline. When the debt-ceiling negotiations agree on a higher ceiling, it will give more bullish pressure to the stock market.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index finally breakout below the daily SMA 200 which means the bear has the upper hand and is ready to push the index further lower. The current bearish movement is mostly influenced by debt-ceiling negotiation issues. If the index return above the daily SMA 200 by the end of the week then we might see the cancelation of the bearish scenario. A cancellation of the bearish scenario means the ranging movement between the daily SMA 200 and the trendline will continue.

Eaton Corporation (ETN)

ETN share prices undergo a bearish correction and trading near the daily SMA 100. A bounce from the averages might happen and the share prices will continue the bullish trend. However, if the share prices move further lower then traders will wait near the daily SMA 200 for better entries. On the lower side, as long as there is no lower low, the share prices could continue the bullish trend.