Lower CPI data boost the stock market

The stock market is storming to the upside today after CPI data show softer than expected result. It should give more reason for the Fed to be more dovish and lean to more rate-cut. Despite the lower than expected data and rising stock market. It is better to wait until next week FOMC meeting. The more people try to front-run the market sentiment, the higher the chance that the other scenario happen before the actual move is set.

Dow Jones Industrial Average (INDU)

DJIA index moving upward again and print new record high after CPI data today. It seems the bull attempting to push the index higher before next week FOMC meeting. As the index climb to new record high, traders will continue to ride the current bullish movement. No change to the latest strategy, traders will continue to make use of each bearish correction as a chance to add long positions.

Lowes Companies, Inc (LOW)

LOW share prices has retraced to its daily SMA 200 and the 38.2% – 61.8% Fibonacci Retracement area. It seems the share prices manage to bounce from the daily SMA 200 and currently moving sideways. If the share prices could maintain the position and move upward with strong bullish momentum, then the trend could turn bullish again. Traders who enter long positions will place stop order below the latest swing low.