U.S stock market is set to trade lower, driven by Tesla & IBM

The bearish pressure on the stock market was sparked by the latest development of tariff where U.S. might curb exports of software to China. Aside from that, traders also monitoring the rise of oil prices. In the latest news, Trump imposed sanction on two largest Russia oil producers. At the current time, it seems the bigger player want to shake out all people before next week FOMC meeting. If there is bearish correction, then it is time for traders to accumulate long positions while waiting for next week conclusion.

TSLA is down 3% after company reported mixed earnings results. While IBM down 8% at the opening and currently recovering.

Dow Jones Industrial Average (INDU)

DJIA index made a bearish close yesterday after attempt to climb to new record high. The index situation stays bullish, but we might see some turbulence before next week FOMC meeting. If the index makes a significant bearish correction toward the orange trend line, then traders will wait for bullish reactions. We maintain bullish outlook as long as the index stay above 45,000.

MP materials Corp (MP)

MP share prices has broken above the triangle pattern, but it looks like the price return inside it again. At the current time, the share prices is trading near the bottom of the triangle and traders will wait for reactions. If the share prices could bounce upward, then we might see continuation of consolidation inside the triangle area. However, if bearish breakout happen, then the daily SMA 100 & 200 could become the downward target to watch.