The U.S stock market opened lower after weaker-than-expected Alphabet results

The stock market is trading under pressure after mixed results in Alphabet’s cloud business. Traders will expect the stock market to trade sideway or bearish until the Fed speech and U.S. GDP data this week. There is no change to the outlook, it is better to continue waiting at the lower level for chance to add more long positions.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index attempting to move upward and avoid printing a new lower low on the chart. If the index gains more bullish momentum and manages to close above the daily SMA 200 and print a higher high then we will have a double-bottom pattern. Traders will wait for further reactions for now while continuing to accumulate long positions when bearish movement happens.

Amazon Com Inc (AMZN)

AMZN share prices might continue the bearish movement to target the daily SMA 200 for now. Traders could wait until the bearish correction losing the bearish momentum and entering long positions near the support level. At the current time, it is better to stay sideline.