Dow Jones seems to complete wave 1, within wave (3) at 25200?

The 4H chart for Dow Jones seems to have completed its first leg down (wave 1), within wave(3), that began from around 26300 levels earlier. The indice has already dropped more than 1000 points since last week and could be producing a pullback rally, before resuming its drop. Looking at the wave structure again, the Dow Jones had dropped lower, unfolding into 5 waves between 26950 and 24100 levels earlier, followed by an A-B-C corrective rally towards 26300 levels respectively, labelled as Waves (1) and (2) on the chart here. Please also note that any intraday or interday rallies from here on should ideally remain under 26300 levels, to keep the structure intact. We maintain our medium term bearish outlook for now and a safe trading strategy could be to hold short positions against 26400 levels, with potential targets below 23000 levels.


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