Tuesday’s Technical Outlook for DJIA (.DJI)

Tuesday’s Technical Outlook for DJIA (.DJI)

Tuesday’s Technical Outlook for DJIA (.DJI)


Last Friday, Wall Street spiked on a Headline Only “good” NFPs report, with the S&P marking intra-day record high and closing at 2,129.90, up by 1.53%.

Monday, the DJIA finished +80.19 at 18226.93, NAS Comp +31.88 at 4988.64, S&P 500 +7.26 at 2137.16

Corporate earnings in the headlights this week, with several big banks reporting their quarterly results.

Should the figures come in better than expected, US stocks’ rally should extend to fresh record highs, further supported by speculation that the US Fed will not raise interest rates this year or next.

As for the technical outlook for the DJIA, the daily shows that the index recovered further from its 100-Day MA after testing last week, the technical indicators rebounded from their mid-lines and maintain their upward slopes, in line with further gains.

In the 4 hours, technical indicators have turned modestly lower from overbought levels, but remain within positive territory, the 20-Day SMA accelerated its advance below the current, also supporting some further gains ahead.


DJIA 18226.93, +0.44% inched closer to the Key resistance at 18350 Monday. The success or failure of the breakout here will have wide repercussions in the global markets. Any consolidation within the band of 18000-300 will be Very Bullish, otherwise… As Goldman Sachs ($GS) says it is time to be afraid, very afraid.The prices of stocks & bonds are higher than they should be, may soon collapse.  Currently the Sept futures of all 3 US major market indexes are flat to unchanged at 1:55am EDT.  PE
Support marks: 18,051 17,986 17,920

Resistance marks: 18,162 18,230 18,290

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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