DOW JONES Is a new rally starting right under our nose again?Consistent with our macro approach to investing (particularly with stocks), we continue to address the recent stock market correction by examining similar behavioural patterns of the past.
It was 10 months ago (October 11 2023, see chart below), when Dow Jones (DJI) was under another short-term turmoil phase that turned out to be exactly that, short-term:
As you can see on that chart, while most were panic selling, we addressed the idea that Dow was "starting a new Bull rally under our nose". And as you can see, the index did exactly that, as it rebounded at the bottom (Higher Lows trend-line) of the Rising Wedge, starting a new +23% rally.
Our basis for this projection was the similar Rising Wedge pattern of September 2015 - November 2016 (almost 1 year), which after a fake-out for the week hands (green circle) on January 2016 (as it was on October 2022), it rebounded in October 2016 at the bottom of the Wedge and posted a +19% rally.
You can see that so far the lows are highly symmetrical as the first was priced in the month of October (2016 then and 2023 now) and the next in April (2017 and 2024 respectively).
The initial rally that broke above the Rising Wedge in 2017, had a small upward extension that then gave a new pull-back for an August 2017. If symmetry continues to dictate the price action, then the current August Low (2024), may be our new bottom as Aug 2017 was.
On the past fractal, the new rally was concluded on a +30.72% rise. As a result, we see it highly possible to get a new long-term peak early next year (January 2025 if symmetry continues) at around 49000.
High as this Target may seem at the moment with the current economic slowdown fears, these are the standard conditions that make rallies start "under our nose".. Especially as November's U.S. elections are approaching.
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Dowjonessignals
US500 / S&P 500 Money Heist Plan in Bearish sideMy Dear Robbers / Traders,
This is our master plan to Heist US500 / S&P 500 Market based on Thief Trading style Technical Analysis.. kindly please follow the plan I have mentioned in the chart focus on Short entry. Our target is Green Zone that is High risk Dangerous level, market is oversold / Consolidation / Trend Reversal at the level Bullish Robbers / Traders gain the strength. Be safe and be careful and Be rich.
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Dow Jones surges to record highs on Fed easing expectationsThe Dow Jones Industrial Average (DJIA) ascended to record highs on July 16th, 2024, fueled by mounting expectations of a Federal Reserve policy shift towards a more accommodative stance.
Fundamental Drivers:
Federal Reserve Policy: The CME FedWatch Tool currently suggests a near-certain likelihood of at least a 25-basis point interest rate cut by September, with the upcoming July FOMC meeting potentially maintaining current rates. This anticipated monetary easing is bolstering investor confidence, particularly in sectors sensitive to interest rate fluctuations, such as industrials and small-caps.
Economic Data: Recent economic data releases, including stable retail sales figures, point towards a potential "soft landing" for the U.S. economy. This reinforces optimism and supports the ongoing market rally.
Sector Rotation: Investors appear to be strategically shifting away from large-cap technology stocks, which have thrived in a low-interest-rate environment, and allocating capital towards sectors anticipated to outperform under rising interest rates.
Confirmation: The significant rise in UnitedHealth Group Inc. (UNH) on July 16th (up 6.11%) exemplifies the strength in non-technology sectors.
Looking Forward: The Dow Jones' momentum remains robust, and further upward potential exists if upcoming economic data continues to align with the Fed's potential easing narrative. Investors will be keenly focused on forthcoming economic releases and the July FOMC meeting for any insights regarding the timing and magnitude of potential rate cuts.
DOW JONES is on an expansion phase until late 2025.Dow Jones (DJI) closed the 2nd straight green month (1M candle), something that isn't discussed a lot amidst the pessimistic views lately across the market. Technically, since the bounce on the 1M MA50 (blue trend-line), the index entered a new Expansion Leg inside the Channel Up that started after the 2008 Housing Crisis.
Each Bullish Leg has been so far more aggressive than the previous but even if Dow repeats the 'weakest' one, we will still look for a +75.32% rise since the September 2022 bottom. This translates into a long-term Target of 50000, which can extend as long as late 2025.
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DOWJONESDow Jones analysis
2 hour and daily time frame
Dow Jones is near the 2-hour supply zone. After entering the zone, seeing the confirmation in the 15-minute time frame, we can enter sell positions with a stop just above the zone. If this area is lost, we will wait until it enters the daily supply area. If the ceiling of the daily supply area is touched, downward reversals give us the position of buying trades. to enter the daily latitude zone.
If the 2-hour supply area is maintained, the first target of the midline trading range and the second target can be the 2-hour demand area, which is formed above the daily demand area.
DOW JONES Ascending Triangle on its Bullish Leg.The Dow Jones Industrial Average Index (DJI) broke above the 4H MA200 (orange trend-line) again for the first time in a week, while holding the 4H MA50 (blue trend-line) as Support. The dominant pattern is an Ascending Triangle and the price action appears to be repeating the previous Leg.
As you can see, following the bottom formation and accumulation (green Arc) on the Higher Lows trend-line, which followed the Bearish Leg in the form of a Channel Down, the previous Bullish Leg (dotted Channel Up) posted a strong rally, the 2nd phase of the structure, towards the Ascending Triangle's top at 40080 (Resistance 1) when it broke above the 4H MA200.
As a result, we are bullish as long as the Asc. Triangle holds, targeting 40000 (just under Resistance 1, bottom of the red Zone). If however the price breaks below the Asc. Triangle (Higher Lows), we will take the loss on the buy and open a sell instead, targeting 37250 (Support 1).
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US30 / DJ30 / DJI Market Robbery Plan to heist moneyMy Dear Robbers / Traders,
This is our master plan to Heist (US30 / DowJones30) based on Thief Trading style Technical Analysis.. kindly please follow the plan I have mentioned 2 Plans with target in the chart focus on whether Long or short entry. Our target is Red Zone for Bulls and Green Zone for Bears that is High risk Dangerous level market is overbought & Oversold / Consolidation / Trend Reversal at the level Robbers / Traders gain the strength. Be safe and be careful and Be rich.
Note: If you've got a lot of money you can get out right away otherwise you can join with a swing trade robbers and continue the heist plan,
Loot and escape on the target 🎯 Swing Traders Plz Book the partial sum of money and wait for next breakout of dynamic level / Order block, Once it is cleared we can continue our heist plan to next new target.
support our robbery plan we can easily make money & take money 💰💵 Join your hands with US. Loot Everything in this market everyday.
DowJones (US30) Bearish patterns and signsIn this 1-hour chart of DowJones (US30), we observe a significant bearish pattern forming after the price action. The market hunted the highs of both the Asia and Euro sessions during the NY session, which typically signals a liquidity grab. This maneuver often leads to a swift reversal, as is evident by the price dropping back down after touching the resistance zone.
The index has broken down from a rising wedge pattern, a bearish reversal signal. This suggests that after the false breakout to the upside, the DowJones is poised for a considerable decline. Traders should anticipate further bearish momentum, potentially leading the index down to lower levels. The break below the wedge confirms that the upward momentum has weakened, and sellers are likely to dominate, pushing the price down further.
Keep an eye on support levels for any potential slowdowns, but the overall trend appears to be bearish for the immediate future.
Dow Jones (US30):🔴Is it bearish..?!🔴Hello trader
By examining Dow Jones on the weekly and 4-hour chart we can figure out the chart is bearish and there is sell-side liquidity that can be defined as targets for smart money.
In this chart, the price failed to create an all-time high and dropped, the price made the bearish breaker and respected it and shifted the market structure.
Now we can see the bearish order block with bearish FVG that makes an important resistance, If the price reaches this zone we can look for a sell position in a lower time frame.
💡Wait for the update!
🗓️27/05/2024
🔎 DYOR
💌It is my honor to share your comments with me💌
DOW JONES Should this Bearish Cross worry us?The Dow Jones Industrial Average Index (DJIA) hit our 40000 Target that we set on our May 06 idea (see chart below) and after that experienced a sharp pull-back:
So far this is within the lines of a natural technical correction correction towards the 1D MA50 (blue trend-line), which during uptrends tends to be re-tested as a Support. Notice also that this is where the 0.382 Fibonacci level is, an important technical Support during pull-backs.
As long as it holds, the Channel Up has the much needed Higher Low that can enable it to move to a Higher High. We expect that to be around 41500 (+6.30% rise, similar to the previous Bullish Leg).
On the other hand, since the 1D MACD completed a Bearish Cross yesterday, we need to consider the possibility of a deeper pull-back, as the last 1D MACD Bearish Cross (April 02), delivered a -6.88% decline. As a result, if the 1D MA50 breaks though, we will take that small loss and go on a short-term sell instead, targeting 38350 (0.618 Fibonacci level).
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DOW JONES made 1st 4H Golden Cross in 6 months!Dow Jones (DJI) gave us a solid bullish break-out signal after it broke out above its 1D MA50 last week (May 06, see chart below):
As you can see this gave way to a new Channel Up, which we view on the current analysis on the 4H time-frame. That is because on Friday it formed the first 4H Golden Cross in 6 months (since November 08 2023)!
This is on its own a very strong bullish signal but it gets even stronger if we consider the fact that the last 4H Golden Cross was formed while the index was in a similar pattern, recovering from August - October correction.
Dow then entered a very aggressive uptrend/ Channel Up that never broke even its 4H MA50 (blue trend-line) before January. As a result, we move our short-term Target even higher, on a symmetrical +3.45% Bullish Leg at 40300, which will be a new All Time High (ATH) for the index.
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DOW JONES Test of 4H MA200 imminent to decide the trend.Dow Jones (DJI) gave a solid short-term sell signal on the MACD Bearish Cross last time we analyzed it on the 4H time-frame (April 24, see chart below):
Similarly, it is flashing a strong buy signal now after the 0.236 Fibonacci rebound that keeps the price action above the 4H MA50 (blue trend-line), in similar fashion as September 14 2023. The 4H MACD even completed a Bullish Cross and the next sequence on that fractal is a 4H MA200 (orange trend-line) test. Our target is 38750.
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DOW JONES Sell target hit. When will it reverse?Dow Jones (DJI) hit the 38050 Target that we set on our last bearish call (March 28, see chart below) and broke below Support 1 (February 13 Low) and the 1D MA100 (green trend-line):
The price now faces more selling pressure being below two MA periods and with the long-term Channel Up (started on the October 13 2022 bottom), having considerable downside to give. As we mentioned on our March idea above, the most effective buy entry within this long-term pattern is when the 1D CCI makes the first Higher Low after having broken below the -100.00 oversold barrier.
That is what happened on March 13 2023 and September 22 2023 (even though that sequence had one more Low to give). The most fascinating characteristic of both those corrective Legs was that they both declined by -9.25%. If Dow repeats this decline, we are looking at 36285, which is just above Support 2 but currently exactly where the 1D MA200 (orange trend-line) is.
The latter is our main point of focus and assuming the index will give a dead-cat-bounce now towards th 1D MA50 (blue trend-line), we project that it may hit the 1D MA200 around 36900. If that coincides with a 1D CCI Higher Low, it will be in our opinion the most optimal buy entry for the next long-term Bullish Leg, targeting 41000.
Note that the dead-cat-bounces on both previous Bearish Legs, never closed a 1D candle above the 0.618 Fibonacci retracement level, so that is the parameter that will keep the current correction valid. If we do get a 1D candle close above the 0.618 Fib, it will technically be a pattern invalidation and trend reversal upwards so we will buy the bullish break-out and Target 41000 regardless.
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DOW JONES below the 1D MA50 after 5 months!Dow Jones (DJI) gave us an excellent sell entry following our last analysis (March 28, see chart below) as it got rejected and made a bearish reversal exactly where we expected it to:
Last Thursday it even broke below the 1D MA50 (red trend-line) for the first time in exactly 5 whole months (since November 03 2023)! This is a bearish break-out confirmation signal and we expect a new sell-off soon.
As you can see the former (dotted) Channel Down broke downwards and has given way to a (blue) Channel Down. The 4H MA50 (blue trend-line) has now been turned into Resistance with one confirmed rejection already (April 04).
The Channel Down has fairly symmetrical Bearish Legs so far, -2.36% and -2.20%. Assuming the new will be at a -2.20% minimum, we are expecting a Lower Low at 38200.
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DOW JONES Head and Shoulders formed. Potential visit of Feb lowsDow Jones (DJI) had formed a Head and Shoulders (H&S) pattern on the 4H time-frame and ahead of the first 4H Death Cross in 7 months (since August 21 2023), the probability of a short-term correction seems stronger than ever.
Technically H&S patterns target the 2.0 Fibonacci extension but we will settle for a slightly higher target on Support 1 at 38050.
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Dow Jones Index (US30): Confirmed Bullish Signal?!
Dow Jones retested a recently broken horizontal resistance.
After a test of structure, the market bounced and violated the upper boundary
of a bullish flag pattern.
The violation may trigger a trend following movement.
Goals: 38050 / 38100
❤️Please, support my work with like, thank you!❤️
DOW JONES Why you don't want to miss this rally.Dow Jones (DJI) is pulling back on a technical correction as the 1W RSI got overbought (above the 70.00 mark) on the December 26 1W candle. That was basically the first time since June 01 2021 it got overbought and that time also gave a technical pull-back.
What draws our attention more than that time though is the December 19 2016 pull-back when the 1W RSI was again overbought. The difference here is that the price action and patterns that preceded that pull-back/ consolidation are very similar. A Lower Lows bottom on the 1W MA200 (orange trend-line) that took place on a 1W RSI Higher Lows Bullish Divergence, gave way to a break and sustainable rise above the 1W MA50 (blue trend-line). Following the current pull-back/ consolidation we are at, a very strong Channel Up took place.
As a result, even though the sentiment is bearish on the short-term, possibly until the January 31 Fed Meeting, it is clear that the long-term trend is bullish. Every such correction has high probabilities from now on to be a buy opportunity. The target can be as high as 43000 within 2024.
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Dow failed to breakout of the 1929 & 2000 Trend - Crash IncomingThese are serious setups, I found a trendline that connected to the Feb 2020 top and it drop from there the next day. This is BIG we failed to breakout of the trendline connecting 1929 to 2000, it went above and came back under, this is VERY Bearish. First target 26000 under that it gets nasty.
Market Dynamics: Large Players Enter as Price Reaches Highs
The price has been on a significant bullish rally, breaking historical highs. This suggests that the price has encountered strong buying interest, indicating the presence of buy-side liquidity. From a technical perspective, this suggests that a retracement may be imminent.
As further confirmation, on the daily chart, we can see that the price reached the liquidity of its previous high and swiftly reversed, creating a breaker pattern. If the price continues to decline, it is likely to experience a shallow retracement to prevent buyers from recovering all their losses.
Additionally, in the highlighted area, we can clearly observe a decrease in buying activity and an increase in aggressive short positions. This could be an indication of the involvement of institutional or large traders, and it's something to keep a close eye on.
Furthermore, the catalysts scheduled for tomorrow add more weight to the possibility of a correction. In my experience, this type of price action often occurs before significant market-moving events. A significant correction is highly probable.
For setting stop-loss (SL) levels, I've shared both aggressive and conservative ideas. I've also provided take-profit (TP) levels based on Fibonacci retracement levels at -272 and -618, with the last one indicated by the white line on the chart.
Please note that trading involves risks, and it's essential to use proper risk management techniques and consider your own trading strategy and risk tolerance when making trading decisions. This analysis is for informational purposes only and should not be considered as financial advice.
DOW JONES Correction expected due to insanely overbought RSI.Dow Jones (DJI) easily hit last week's (December 12) target (37000) at the top of the 2-month Channel Up (see chart below) with the price grinding ever since on its top:
That was a short-term signal, today we shift our attention to the medium-term and the 1D time-frame where the 1D RSI is 'insanely' overbought near 87.50, a level it hasn't touched since January 2018. In fact if we look a little longer, we can see a perfectly fitting sequence with today's price action in late 2016. The 1D RSI got hugely overbought at 87.40 on December 13 2016 and pulled-back to the 1D MA50 (blue trend-line) before resuming the uptrend.
This overbought 1D RSI peak was made after two straight Channel Downs leading to approximately +9.58% and +14.50% rises, which is quite similar to what's been happening since April. This tells us not to engage in any buying any more, even though due to being on the end of year euphoria and post Fed rate cut anticipation, it can rise some more. But the risk is higher now than buying near the 1D MA50 again.
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DOW JONES Does this rally still surprise you?Two months ago (October 11) we made a bold statement calling for "the start of a new Bull rally under our nose" on Dow Jones (DJI) (see chart below):
Many traders/ investors/ market participants have been surprised by the current November - December rally but in reality they shouldn't as the index is methodically repeating the 2016 - 2017 Rising Wedge pattern, as we've shown on that analysis. We are now at the level where the price is breaking above that pattern (blue circle), which comes after the 1W RSI makes a fake-out break breach below the Higher Lows and then rebounds.
On the current analysis we expand the chart more, in order to show you that the very same Rising Wedge also emerged from May 2011 to December 2012. We are therefore on a +10 year cyclical pattern which the all three Wedges not only displaying identical break-outs/ fake-outs but also similar duration.
The 2011/12 pattern peaked on the 2.618 Fibonacci extension, the 2015/16 a little higher on the 3.0 Fib ext. We can assume that this progression could give a new top on a higher Fib, but if we take the worst case scenario of the model (2.618 Fib), we can expect a High around 42900.
Check out also how the Sine Waves grasp fairly accurately the cyclical movement on those bottoms and peaks during these past +10 years. Another important observation is that after the index broke above the Rising Wedge in 2016, it didn't offer any significant dips to buy. Rare buy entry opportunities existed only on the middle trend-line (orange) of the Bollinger Bands. The 2013 break-out gave significantly more dips buy opportunities, 7 in total all marginally below the Bollinger middle, before the 2.618 Fibonacci peak.
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