Dow Futures are trading near a flat level as inflation data looming

The stock market might trade with choppy movement as the market awaits the release of U.S inflation data. Higher inflation numbers mean confirmation for the Fed to continue raising the interest rates. On the other hand, if inflation numbers continue to cool then we might see a rally in the stock market.

PPI data show an increase of 0.4% or 0.2% more than expected. Will inflation numbers continue to climb and bring more bearish pressure to the stock market?

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index is back under bearish pressure and might print a new lower low on the chart. Traders will continue to monitor the index reaction near the support level now. If the pair could stage a rally from the current level then we might see upward movement to retest the 30,500 – 31,250 area. The inflation data released this week might become the catalyst for the index’s next movement.

Fluor Corp (FLR)

FLR share prices maintain the position inside the triangle range as shown on the chart. At the current time, the share prices are testing the top of the range and will attempt to break out above it. It seems the share prices failed to break out and might resume the ranging movement inside the range. Traders could use the moment to trade the range until a breakout and close outside of the range happen.