Dow Jones continues to form a passive attack 25/8/2023

The Dow Jones Industrial Average on Wall Street declined significantly, as we expected during the technical report of yesterday’s trading session, approaching the official target station 34,000, recording its lowest level at 34,100.

The technical side today indicates the possibility of resuming the bearish trend, relying on the negative intersection of the simple moving averages and the clear negative signs on the 14-day momentum indicator, which settled below the mid-line 50.

With the stability of intraday trading below 34,280, the bearish trend remains the most likely, targeting 34,000, and then 33,940 next, and the negative targets may extend later to 33,830.

Only from above, crossing upwards above 34,280, with an hourly candle closing at least, will immediately stop the suggested scenario and lead the index to recover, heading towards 34,400.

Note: Today, we are awaiting economic data from “The Jackson Hole Economic Forum”, “Speech by Lagarde, President of the European Central Bank” and “American Consumer Confidence from the University of Michigan”, and we may witness high volatility in prices.

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: 33940	R1: 34570
S2: 33705	R2: 34970
S3: 33300	R3: 35215