The Dow Jones Index is showing a bullish picture, as opposed to the bearish conditions of the S&P 500.
This index is in fact trading above all major moving averages, especially the 200-day MA (green moving average) and the 50-day MA (red moving average).
The price also bounced recently at the 32600 level, which acted as strong support.
It's likely that we could see a test of the 21-day MA (blue moving average).
A break above this level would open the possibility of further upside to the next resistance level of 34800.
A failed test of the 21-day MA would mean, instead, a likely retest of the support area between 32400 and 32900.
The RSI stands at 49, indicating a neutral trend.
The Dow Jones index has also completed a golden cross recently.
This happens when the 50-day MA moves above the 200-day MA.
This is a bullish sign for the short term.
If the Dow acts as a leading index for the overall US stock market, we could expect also the S&P 500 and the Nasdaq indices to mirror the price movements of the Dow Jones in the upcoming days.
Therefore, watch closely the price action of this index for clues on the next market direction.
This index is in fact trading above all major moving averages, especially the 200-day MA (green moving average) and the 50-day MA (red moving average).
The price also bounced recently at the 32600 level, which acted as strong support.
It's likely that we could see a test of the 21-day MA (blue moving average).
A break above this level would open the possibility of further upside to the next resistance level of 34800.
A failed test of the 21-day MA would mean, instead, a likely retest of the support area between 32400 and 32900.
The RSI stands at 49, indicating a neutral trend.
The Dow Jones index has also completed a golden cross recently.
This happens when the 50-day MA moves above the 200-day MA.
This is a bullish sign for the short term.
If the Dow acts as a leading index for the overall US stock market, we could expect also the S&P 500 and the Nasdaq indices to mirror the price movements of the Dow Jones in the upcoming days.
Therefore, watch closely the price action of this index for clues on the next market direction.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.