Dow Jones jumps up 30/1/2024

The Dow Jones Industrial Average experienced significant gains on Wall Street, managing to breach the robust resistance level of 38280 and reaching its highest level at 38498.

From a technical perspective today, observing the 4-hour chart reveals that the simple moving averages continue to support the price from below. Additionally, the Relative Strength Index remains in defense of the daily upward trend.

With intraday trading holding steady above the previously breached resistance at 38280, and generally above 38240, the prevailing expectation is for the upward trend to persist throughout the day. The initial target is set at 38570, and surpassing it would extend the index’s gains, opening the path directly towards 38700.

Only a return of trading stability below 38235 would thwart the proposed bullish scenario, subjecting the index to significant downward pressure with an initial target of 38060 before potential recovery attempts.

Warning: High-impact economic data related to the US economy, specifically the “Consumer Confidence Index,” is expected today. As a result, we may witness increased price fluctuation at the time of the news release.

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: 38235	R1: 38570
S2: 38030	R2: 38700
S3: 37890	R3: 38910