Dow Jones deepens losses 29/8/2022

The Dow Jones Industrial Average incurred heavy losses at the end of the trading week ending last Friday, under pressure from the Federal Reserve Chairman’s speech during the Jackson Hole Economic Forum, recording losses of more than 2% around the price of 32,020.

Technically, with the continuation of the negative crossover of the simple moving averages that pressured the price, in addition to the indicator confirming the breach of 32,280, the previously broken support-into-resistance.

Therefore, the continuation of the bearish trend is valid and effective, knowing that the decline below 32,020 constitutes a strong negative pressure factor on the index, opening the door to achieving losses that start at 31,560.

The index’s stability above 32,280 will postpone the chances of a decline, and we may witness a slight bullish slope that aims to retest 32,700.

Note: the risks are high.

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: 31560	R1: 32975
S2: 31080	R2: 33920
S3: 30140	R3: 34395