Stock futures lower on the first September trading day

The stock market bracing for a bearish opening today as stock futures are mostly lower. Traders seem preparing for the release of job data at the end of the week. If the job data shows higher-than-expected numbers then it might hinder the Fed’s plan to cut interest rates. Also, the market reactions might be massive toward the data release. Traders better start protecting positions or take off partial profit at the current level.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index hanging near the record high and might keep extending its bullish movement. The upward movement has not shown any weakness nearing the Fed FOMC meeting. Traders will keep holding long positions while protecting the positions at break events. Whenever the index starts a bearish correction, traders could use it as a chance to add more long positions in stocks.

Pepsico Inc (PEP)

PEP share prices look limited below the bearish trendline but are supported around by the daily SMA 100. We might see the share prices consolidating between the trendline and the $160.00 handle. When the share prices could break out and close above the trendline, it is when the bullish trend is confirmed. At the current time, traders could use the chance to accumulate long positions between the daily SMA 200 and $167.50.