Short
Dow Jones exceeds by over 400 points towards 25700/800
Dow Jones daily chart on a log scale has been presented here today with potential wave counts. First, the drop between 29600 through 18200 is an impulse and hence labelled as a higher degree Wave (1). The drop not only breaks the trend line support since 2016 but also the December 2018 lows (Neck line) at 21600/700 levels. The drop begins the making of a potential Head and Shoulder reversal with Head at 29600, Left Should around 25800 and Neck line around 21600/700. The required counter trend rally is also looking complete as an A-B-C structure, around 25700/800 handle. This could be marked as a potential Right Shoulder of the above pattern as well. Over and above, Dow Jones id hitting the backside of the past trend line support, which is now resistance. It is just a matter of time before a sharp bearish reversal Wave (3) begins.
Strategy:
Short against 29600, targeting below 18000
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.
Strategy:
Short against 29600, targeting below 18000
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.
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.
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.