US30 Reaches Critical Resistance – Breakout or Major Rejection I

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The Dow Jones is testing a key supply zone near 41,700 after a strong bullish rally. But with multiple U.S. economic events on deck, this could be a make-or-break moment for US30.

1H Technical Breakdown:

1. Major Supply Zone (Resistance):

41,119 – 41,800 zone is a major supply cluster identified by LuxAlgo’s Visible Range.

Price is consolidating right at the top – signs of distribution may be forming.


2. Key Support Levels to Watch:

39,274: If the price rejects and breaks below this, a medium-term reversal could start.

37,484: High volume demand area and previous macro support – this would be the key bounce zone in case of sharp correction.


3. Bullish or Bearish?

Bullish case: Break and hold above 41,800 could trigger a squeeze toward all-time highs.

Bearish case: If the index fails to clear this supply zone and drops below 41,119, expect pullbacks to 39,274 and potentially 37,484.


4. Macro Catalyst:

Multiple U.S. economic events approaching (highlighted on chart: CPI, FOMC, etc.)

These will bring volatility – timing your entries around them is critical!


Possible Trade Setups:

Short Setup: Wait for rejection near 41,800 with a breakdown below 41,119

TP1: 39,274

TP2: 37,484

SL: Above 41,900


Long Setup: Breakout retest above 41,800 with bullish momentum

TP1: 42,500

SL: Below 41,200




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Let’s debate:
Is this a bull trap or the beginning of another rally?
Comment with your thoughts and setups!

#US30 #DowJones #Indices #TechnicalAnalysis #MacroTrading #SupplyDemand #LuxAlgo #StockMarket

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