. Dow Futures Soar as Apple, Fed Loom: Key Insights for Traders

Dow Futures Soar as Apple, Fed Loom: Key Insights for Traders

30 Oct 2023

Dow Futures rise as Apple, Fed Loom.

On Monday, U.S. stock futures saw an increase as traders prepared for an eventful week marked by the Federal Reserve’s rate decision, the jobs report, and Apple’s earnings report.

Dow Jones Industrial Average Futures were up 204 points, or 0.6%.

The looming Federal Reserve decision, scheduled for Wednesday, is widely anticipated to result in no change to the current benchmark interest rate. Given that soaring interest rates have been the primary cause of the recent stock market correction, investors are eager for any signals from the Fed that suggest a halt in rate hikes. Traders are expecting the Fed to refrain from further rate increases, at least for the remainder of 2023.

Last week, the 10-year Treasury yield briefly surpassed 5%, but it settled around 4.89% on Monday. The upcoming October jobs report, to be released on Friday, is being closely watched by investors, who are hoping for signs of a labor market slowdown that would give the Fed confidence to maintain its current stance for the rest of the year.

DOW JONES TECHNICAL ANALYSIS DAILY CHART:

Technical Overview

Dow Jones is currently trading within a down channel.

Dow Jones is positioned below all Moving Averages (SMA).

The Relative Strength Index (RSI) is in the selling zone, while the Stochastic oscillator suggests a negative trend.

Immediate Resistance level: 32762.59

Immediate support level: 32561.37

HOW TO TRADE DOW JONES

Following an initial rise, the Dow Jones index faced resistance, leading to a decline and a shift toward a downward trajectory with a pattern of lower lows. At present, the price is approaching a critical support area, and a breach of this level could potentially trigger further downside movements.

TRADE SUGGESTION- STOP SELL – 32436.26, TAKE PROFIT AT- 31740.60, SL AT- 32908.31.