Dow Jones achieves remarkable gains 11/8/2022

The Dow Jones Industrial Average jumped on Wall Street, achieving strong gains after releasing US inflation data after it consolidated above 32,860, explaining that this extends the gains to visit 33,060, surpassing the required target, recording a high of 33,370.

Technically, the RSI continues to defend the daily bullish trend, accompanied by the index’s success in building a base at the 33,100 support level and stochastic stationing around the overbought areas.

Therefore, the possibility of continuing the rise is valid and effective, knowing that breaking 33,360 is a catalyst that enhances the chances of touching 33,580 initial target. Its next gains may extend to visit 33,650.

Activating the proposed scenario requires the index price to remain above the 33,100 support level. Breaking it will stop the scenario mentioned above, and we may witness a bearish slope that aims to retest 32,860.

Note: The risk level is high.

Note: The US Producer Price Index is due later in the session; it has a big impact and may cause price volatility.

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.

S1: 32890	R1: 33580
S2: 32440	R2: 33820
S3: 32195	R3: 34275