Wednesday’s Technical Outlook for DJIA (.DJI)

Wednesday’s Technical Outlook for DJIA (.DJI)

Wednesday’s Technical Outlook for DJIA (.DJI)

$DIA, $DJI

Wall Street fell for a 4rd day running, as investors continue to run from equities and rushed into safe havens asset due to a negative mood triggered by increasing Brexit fears persisted all through this Tuesday.

Wall Street edged lower, although US indexes trimmed half of their daily losses ahead of the close, on hopes the US Fed’s FOMC will not raise interest rates

Wednesday. The DJIA and the S&P 500 posted their 4th consecutive decliners.

The DJIA dropping 57 pts, or 0.33%, to close at 17,674.82.

The S&P 500 Index lost 3 pts, or 0.18%, to end at 2,075.32.

The Nasdaq Comp fell 4 pts, or 0.10%, to finish at 4,843.55.

The daily for the DJIA presents a clear Bearish tone, as the index has extended its decline below its 20-Day MA, and the technical indicators keep heading South after entering negative territory.

The 100-Day MA stands at 17,529, Key support in here.

Near term, the 4 hours shows that the technical indicators have bounced from oversold territory, in line with the latest intra-day recovery, but also that the index remains well below its MA’s, with the risk towards the Southside.

Commentary

DJIA at 17674.82, -0.33% managed a close above the support at 17650 Tuesday, but further decline to 17400 cannot be ruled out in hear. Today’s FOMC’s announcement at 2:00p today will clear the near term picture. PE

Support marks: 17,597 17,529 17,462
Resistance marks: 17,698 17,770 17,854

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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