Noor Trends News, Technical Analysis, Educational Tools and Recommendations
A downward trend has taken hold of the Dow Jones Industrial Average on Wall Street after several consecutive sessions of upward movement, bringing it within a stable downward slope around 37,670.
From a technical standpoint today, there is a temporary inclination towards negativity in trading. This is based on the stability of the index price below the 50-day simple moving average, in addition to 37,840.
As a result, there may be a bearish bias in the coming hours, targeting 37,615 as the initial goal. Breaking the aforementioned level would increase negative pressure on the Dow Jones, with the next target set at 37,555.
It’s crucial to note that price consolidation above 37,780 could thwart the temporary decline scenario and pave the way for the index to resume the official upward trajectory. Initial targets in such a case would be 37,890 and 37,950.
Note: Today, high-impact economic data from the American economy, specifically the “New York State Manufacturing Index,” is expected. Additionally, from the Canadian economy, “Canadian inflation data” is anticipated, and there’s also expectation regarding “the change in unemployment benefits and the speech of the Governor of the Bank of England” from the United Kingdom. This could lead to high price volatility during the release of this news. Furthermore, the ongoing geopolitical tensions contribute to the overall high level of risk.
Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.
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