US30 Dow Jones Technical Analysis and Trade IdeaThe US30 Dow Jones index has exhibited a robust bullish trend recently. However, we now observe that the index is approaching a significant resistance level on both the weekly and daily charts.
Moreover, the market appears to be overextended. When a market becomes overextended, there’s a possibility of a reversal. Traders closely monitor signs of exhaustion or weakness.
Given these factors, we are considering a short opportunity. It’s essential to manage risk diligently, as trading always carries inherent risks. Remember that this information is for educational purposes only and should not be construed as financial advice. 📈👍
Us30analysis
US30 short
Price broke above 38375 daily region
Price is looking to retest that region
There is a three pin pattern on the 4h timeframe
The 3 pin pattern has formed below two liquidity zones
Price retested the 39430 region in the Asia session
Momentum is too weak for now.
Waiting for a solid entry that will make be sell to 39305.
DOW JONES ANALYSISChart : 4Hour
Overall Trend : Bullish
Current Market Structure : Consolidation
Scenario 1 :
Price has been respecting the 39600 level as it did reject from that level with a heavy push to the downside on Friday .
We can look for short term selling opportunities in the market targeting the imbalance in the market . Or targeting the 4hour demand levels
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US30 Dow JonesPair : US30 Dow Jones
Description :
Double Top in Short Time Frame
Completed " 12345 " Impulsive Waves
Fibonacci Level - 261.2%
RSI - Divergence
Bullish Channel as an Corrective Pattern in Short Time Frame and Rejection from Upper Trend Line
US30 Top-Down AnalysisSo, looking at recent moves in US30, it seems as though we can expect some bearish move to 381995.15 as a low hanging fruit objective. If the bearishness is maintained, I would be looking for price to reach 37975.49 level. I have tried to explain my thinking in the recording. It is my first video, so I am still learning to be more articulate. I hope overall, it makes sense.
DOW JONES ANALYSISChart : 4Hour
Overall Trend : Bearish
Current Market Structure : Downtrend
Scenario 1 :
Price is currently trading to the downside . Creating new LL & LH . We will be looking for selling opportunities in the market as I would like price to trade into a more premium area ,Therefore mitigating a OB or Supply Area & continuing towards the downside .
US30 USD meltdown (Shorts from 38400.0)My bias for US30 has turned bearish due to the recent Wyckoff distribution that unfolded on the higher time frame, validated by a change of character and a break of structure. This confirmation prompts me to seek selling opportunities to support the downward trend.
I will be targeting sells around the 20-hour supply zone, which recently triggered a Break of Structure (BOS) to the downside. Once we experience a pullback, I will seek a redistribution pattern on lower time frames to initiate sells in line with the prevailing trend.
Confluences for US30 sells are as follows:
- Price played a Wyckoff distribution on the higher time frame and had a CHOCH.
- Continuous breaks of structure have occurred to the downside with strong momentum
- Few clean supply zones have been left including the recent 20hr supply.
- ATH's has been taken, and enough liq has been grabbed to start pushing price down.
- still lots of liquidity and imbalances below that needs to be mitigated.
P.S. Alternatively, I will wait for the daily demand. If price continues to decline, I can capitalize on a retracement back up to the supply zone, making buys a potential option this week. Wishing you all a successful trading week!