Friday’s Technical Outlook for DJIA (.DJI)

Friday’s Technical Outlook for DJIA (.DJI)

Friday’s Technical Outlook for DJIA (.DJI)


US stocks rose for a 3rd session running Thursday, supported by prospects of more monetary stimulus from major central banks after BOE’s Carney hinted at a Summer rate cut.

The DJIA rose 235 pts or 1.33%, to close the day at 17,929.99.

The S&P 500 gained 28 pts, or 1.36%, at 2,098.86.

The NAS Comp climbed 63 pts, or 1.33%, at 4,842.67.

All US major stock market indexes were within less than 100 points from pre-Brexit highs and both, the S&P 500 and DJIA turned back to the Green on the year, as the NAS Comp remained in the Red.

The DJIA daily presents a clear Northward potential, given that the technical indicators are now heading North above their mid-lines, and the benchmark index has extended its recovery beyond all of its MAs.

In the near term, and according to the 4 hours, the Northside is also favored, as the 20-Day SMA turned higher below the current mark, and the index has also overcome its 100 and 200-Day SMAs. In this last frame, the technical indicators turned flat within extreme overbought levels, but given that the benchmark keeps pressuring the highs, chances of a Southward corrective movement during Friday’s pre-4th of July US holiday look limited.


DJIA at 17929.99, or +1.33% may test the the Key resistance zone of 18000-300 Friday, the price action in this 300 pts band will be decisive for the medium term. PE

Support marks:17,865 17,791 17,700
Resistance marks: 17,938 18,051 18,118

Stay tuned…

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

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