Dow Rally to 29,000 Sets Up Selling Opportunity.
The Dow bounced on the big breakout level and got very close to the pending order entries of 29,000. After falling from just under here, it traded back down to the low and looks like it may be making a double bottom currently in the futures market.
This could be the start of a second leg up that will trade just above the previous highs and into the 29,000 area. This second spike high gives excellent entries for shorts. Stops as low as 29,420 are possible and there is a lot of movement downwards possible if price goes down and breaks the support level. Today I am looking to see a very strong Dow in the London and EU trading sessions. Rallying strong into 29,000. Then starting to weaken later in the day in the US trading session. I'll be selling in and around the 29,000 level and will be adding to my sells if the current lows are broken.
As mentioned in previous posts, a break of the current lows may be the start of a fall of 20% >. It is possible a consistent downtrend can start from the break of this level. With it being such a strong level, we should have to see a lot of selling momentum to get through this level. If we see this level breaking along with there being big bear candles (heavy selling) it could be a strong early indication to us that the near term trend on the Dow has turned to be bearish.
This could be the start of a second leg up that will trade just above the previous highs and into the 29,000 area. This second spike high gives excellent entries for shorts. Stops as low as 29,420 are possible and there is a lot of movement downwards possible if price goes down and breaks the support level. Today I am looking to see a very strong Dow in the London and EU trading sessions. Rallying strong into 29,000. Then starting to weaken later in the day in the US trading session. I'll be selling in and around the 29,000 level and will be adding to my sells if the current lows are broken.
As mentioned in previous posts, a break of the current lows may be the start of a fall of 20% >. It is possible a consistent downtrend can start from the break of this level. With it being such a strong level, we should have to see a lot of selling momentum to get through this level. If we see this level breaking along with there being big bear candles (heavy selling) it could be a strong early indication to us that the near term trend on the Dow has turned to be bearish.