Stock futures slightly lower ahead of The Fed’s meeting

The stock market might trade cautiously nearing the announcement of interest-rate by the Fed. There is not much to expect for now, meaning traders could stay sideline. After the interest-rate announcement, the stock market might continue the bullish movement if the Fed decides to halt interest-rate steady. On the other hand, if the Fed keeps its hawkish outlook then we might see further consolidation or bearish pressure.

Technical Analysis

Dow Jones Industrial Average (INDU)

DJIA index closed lower at the end of the previous week which suggests further weakness to test the daily SMA 100 & 200 this week. Traders will monitor closely the index reactions near both averages. If the index could bounce upward with strong bullish momentum then we might see a bullish continuation for the rest of the year. However, if the index continues trading lower and closes below the daily SMA 200 then we might see the trend turn bearish for the medium-term.

Freeport McMoran Inc (FCX)

FCX share prices seem consolidating near the cluster of averages and might wait for further reactions. The share prices will attempt to bounce upward and print a new higher swing high to confirm bullish continuation. At the current time, traders will continue to accumulate long positions with a stop below the previous swing low. A close above $42.00 could become the bullish continuation for traders who enter long positions near the cluster of averages.