Stock futures pointed lower indicate a more choppy trading month

Yesterday, the stock market rebounded after the Monday slump. However, the sentiment continues to be mixed as the index futures pointed lower today. The Asian stock market is mostly lower today and the European stock market is set to open the day on the bearish side.

Traders and investors seem will continue to observe the development of Congress talk on the debt ceiling. Aside from that, the job data at the end of the week will provide more clues on the Fed decision this month.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index made a bullish close but inside the previous Friday’s close. The overall movement is sideways and expected to continue ranging until the release of job data at the end of this week. If the index moves upward then the daily SMA 50 & 100 will become the resistances to watch. On the lower side, the horizontal level and daily SMA 200 are the support levels.

Applied Material (AMAT)

AMAT share prices look trading near the daily SMA 200 and the horizontal line. We have an initial bullish reaction from the support levels which might turn into a rally. Traders could enter long positions with a tight stop below the level.