Dow Jones is building on support 7/6/2023

The Dow Jones Industrial Average achieved the first target required to be touched during the previous session’s trading at 33,420, recording its lowest level at 33,402, to rebound to the upside towards 33,58 due to touching the support represented in the target.

On the technical side today, and by looking at the 4-hour chart, we find that the simple moving averages returned to carry the price from below, and continue to provide positive motives supporting the possibility of a rise, motivated by the clear positive signs on the 14-day momentum indicator.

Therefore, we may witness an upward trend in the coming hours, targeting the extended resistance 33,710/33,680 as a first target, noting that confirming the breach of 33,710 is a catalyst that enhances the chances of an increase to visit 33,770.

Activating the bullish scenario suggested above requires stability of daily trading above the support level of 33,445, and breaking the mentioned level nullifies the activation of the suggested scenario, and the index witnesses negative pressure, targeting 33,310.

Note: The level of risk 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: 33445	R1: 33680
S2: 33310	R2: 33770
S3: 33220	R3: 33910