Dow Jones faces selling pressure 17/10/2022

Mixed trading dominated the movements of the Dow Jones Industrial Average in the New York Stock Exchange during the closing sessions of last week’s trading, to return within the bearish track again.

On the technical side, today, we tend to the negative side, but cautiously, relying on the continuation of the RSI’s defense of the bearish trend, in addition to the stability of the daily trading below the previously broken support-into-resistance at 30,000.

Therefore, the possibility of a drop is still valid and effective, provided that we witness the index’s decline below 29810, targeting 29,525 first target, taking into consideration that breaking 29,525 increases and accelerates the strength of the daily bearish trend waiting for 29,430 as long as the price is stable below 30,000.

Consolidating above 30,000 might lead the index to postpone the negative attack and start forming an ascending attack towards 30,350.

Note: The risk level is 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: 29525	R1: 30350
S2: 29175	R2: 30830
S3: 28695	R3: 31180