Stock futures gearing for more upside after a strong week

DJIA futures are currently higher by 154 points which indicates the continuation of the previous week’s bullish close. The upward pressure on the index might be a reaction toward a consecutive bearish close. Traders and investors mostly will focus on the U.S job data this week. We suggest traders stay cautious as the current upward movement might be “transitory” and another dump might happen.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index started a bullish correction and surpassed the previous swing high. However, the index has not reached the daily SMA 50 or the daily SMA 200. A rejection from the averages will prompt traders for another bearish attempt toward the level below 30,000. At the current time, it is better to stay sideline and wait for the reaction near resistance levels.

Accenture PLC Com (ACN)

ACN share prices are currently undergoing a bullish correction after a new lower low was printed on the chart. The upward movement has strong momentum which might lead the share prices up to test the daily SMA 100 & 200. Traders will monitor the share price reaction near the resistance levels. If there is a major bearish reaction from the resistance levels then traders might want to scale out of long positions. Alternatively, traders could enter short positions with stops above the daily SMA 200.