Dow Jones faces selling pressure 7/4/2022

The Dow Jones Industrial Average declined noticeably within the expected bearish path, touching the first target at 34,350, approaching the next official station at 34,140, recording the lowest level at 34,180.

On the technical side today, a pivot below the 34,580 area supports the possibility of a downside move, in addition to the negative signs coming from the RSI on the short time frames.

We tend to the negativity, provided that we witness a clear and strong break of the support level 34,160, which leads the index price to head towards 33,960, a first target that may extend later to visit 33,740.

Activating the suggested bearish scenario depends on the stability of trading below the resistance level 34,580, and most importantly 34,600, knowing that the above and cohesion above 34,600 will lead the index to recover to retest 34,800.

Note: The risk level is high.

Note: CFD trading involves high risk; all scenarios may occur.

S1: 34160	R1: 34580
S2: 33960	R2: 34810
S3: 33735	R3: 35000