Dow Jones suffers huge losses 7/9/2023

The Dow Jones Industrial Average suffered significant losses during the previous trading session within the expected downward path in the last technical report and exceeded the downward targets required to be achieved at 34,490, recording its lowest level at 34,321.

On the technical side today, we continue to favor the daily bearish trend, relying on trading stability below the 34,660 resistance level, in addition to the clear negative signals on the Relative Strength Index and its stability below the 50 midline, in addition to the negative intersection of the simple moving averages.

Therefore, we maintain our negative expectation, targeting 34,290 as a first target, and breaking it extends the index’s losses, opening the way directly to visit 34,190 and 34,120.

We remind you that crossing upwards and rising above 34,660 postpones the activation of the proposed scenario and the index will recover temporarily to retest 34730 initially.

Note: Risk level may be 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: 34290	R1: 34660
S2: 34120	R2: 34860
S3: 33930	R3: 35030