Dow Jones Analysis (Daily Time Frame)
Dow Jones Technical Analysis (Daily Timeframe)
In the past week, the Dow Jones index failed to stabilize above the 43,900 zone. After a temporary move up to the 44,045 zone, it resumed its decline and dropped to the 42,200 area.
Main Scenario (Higher Probability): The outlook remains bearish for this index; however, a temporary upward pullback is expected before the Dow Jones continues its descent towards its 5-month range floor in the 41,800 zone or potentially even the 41,000 area. A reversal to the upside may occur from these lower levels.
Alternative Scenario (Lower Probability): If buying pressure at the beginning of the week is strong enough for the Dow Jones to reclaim the key 44,045 zone, its first target will be the historical high at the 45,090 level.
Dow Jones Analysis (4-Hour Time Frame)
Main Scenario: Given the temporary rebound from the 42,200 zone and the divergence seen at this support area, the Dow Jones is expected to move upward towards the 43,140 to 43,400 zone.
Alternative Scenario: If selling pressure causes the Dow Jones to resume its decline from the current levels, a break below the 42,200 zone will open the path for a move toward the 41,800 zone or possibly even lower.
Dow Jones Analysis (15-Minute Time Frame)
Main Scenario: After the Dow Jones surpassed its previous peak, it is expected to experience some range-bound movement before moving towards the important 43,140 zone.
Alternative Scenario: If selling pressure leads to a downward move from the current levels, the first target for this index will be the 42,350 zone.