The Dow Jones Index Maintains its Positive Momentum 3/11/2023

The Dow Jones Index has sustained its positive momentum for a second consecutive session, aligning with our earlier expectations. The index has achieved all the specified targets, reaching the official goal of 33680 and even surpassing it, marking its highest level at 33965.

From a technical perspective today, the trend continues to point upwards, supported by the positive influence of the simple moving averages, which are guiding the price from below and reinforcing the daily upward trajectory of prices. Furthermore, the Relative Strength Index continues to defend the uptrend.

With the index’s trading maintaining levels above 33750, the bullish scenario remains the most likely outcome. The next target stands at 34160, and surpassing this level would further strengthen the upward trajectory, potentially leading to a surge towards 34375.

A reversal in the index’s fortunes would necessitate a stable trading pattern below 33750, which would place the index under negative pressure. In such a scenario, the index could experience a pullback, with initial targets set at 33540 before any potential attempts to resume an upward trajectory.

Please note that we are anticipating high-impact economic data from the American economy, including non-farm payroll, unemployment rates, average wages, and the services purchasing managers index issued by ISM. Additionally, we are awaiting Canadian economic data, specifically the unemployment rate and job changes. Market fluctuations are expected upon the release of these news items.

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: 33540	R1: 34160
S2: 33130	R2: 34375
S3: 32920	R3: 34780