Stock futures slightly higher ahead of U.S election

DJIA futures are currently up 40 points as the market prepares for the U.S. presidential election. It might be better to stay sidelined for now and wait for the results. Will the stock market rally and continue the upward movement until the close of the year? Alternatively, will it turn lower after the results are announced and start a bearish trend after the release of bad data?

Technical Analysis

Dow Jones Industrial Average (INDU)

The DJIA index made a bullish attempt at the end of the week but retraced most of its gain. The market might attempt to extend the bullish movement this week but it will depend on the reactions after the election. It might be better to stay sidelined and observe the market reactions after the election results are announced. On the lower side, if the index continues lower then daily SMA 100 and Fibonacci Retracement levels could become the target.

Best Buy Inc (BBY)

BBY share prices are in a bearish pullback and managed to close the September bullish gap. The share prices currently trading near the daily SMA 100 and might resume the bearish movement toward the daily SMA 200. Traders will wait for bullish reactions near both levels. When there are strong bullish reactions, traders could enter long positions.