Dow Jones Starts the Week on Positive Side

The Dow Jones Industrial Average started the week with a slight bullish bias after establishing a good support floor around 27700.

Technically speaking, looking at the 4-hour chart, we find that the stochastic indicator is consolidating around overbought areas, in conjunction with the RSI’s attempts to obtain positive signals on short intervals.

With the intraday trading remaining above 27670, we expect the bullish bias today, noting that breaking 27800 will facilitate the path to 27880.

On the downside, holding below 27670 negates the suggested scenario and puts the price under temporary negative pressure targeting 27640 then 27600. Warning: The risk level may be high.

S1: 27720	R1: 27800
S2: 27670	R2: 27840
S3: 27640	R3: 27880