8 May 2018 (9:11 AM EDT)
U.S. stock futures are trading with minor losses but have been quite choppy in last couple of hours.
That indicates we may see a similar choppy intraday trend in U.S. stock markets today. And the trading trend may remain range bound.
The 5-hour candlestick charts are showing that U.S. stock markets have been trading in a narrow range and yesterday’s high and low levels will create today’s immediate trading range.
Dow Jones is currently within a 250 points’ range, stretching from 24,500 to 24,250. On 5-hours chart, this lower level (24,250) is appearing to be a strong support. If the index is able to hold above this support, then its short term uptrend, after recent bounce back, will continue.
However, if Dow Jones falls below this support, then it can retest the lower support of 24,110. If U.S. stock markets find buying support and trade above previous session’s high mark, then Dow Jones can try to reach previous high levels o 24,623 and 24,800.
Broader markets are expected to follow a similar trend. Support and resistance levels will still prove to be the best trading tools and you can ind those “tools” on our Pivot Trading page.
Just let markets develop a trend and then follow the same. Market volatility is expected to remain high.