Dow Jones US30 Technical Analysis: The Dow Jones index has witnessed a strong downward trend over the past few days, influenced by negative US economic data, most notably lower-than-expected labor market and unemployment reports, which increased the likelihood of a slowdown in economic growth. In addition, the US Federal Reserve’s statements, which favored a delay in cutting interest rates, raised concerns about continued market pressure.
Dow Jones US30 Technical Analysis: Price Action Overview (H1)
- Today’s High: 37,718
- Today’s Low: 37,289
- Current Price: 37,653
The index is currently attempting an upward rebound after testing important support at 36,983. There are signs of buying liquidity entering this level.
Technical Indicator Analysis
General Trend:
The trend has been clearly bearish since the beginning of April, as the price has moved below all moving averages, which are sloping sharply downward, confirming the continued selling control so far.
MACD
The indicator shows the beginning of a reversal, as we notice a bullish crossover between the signal line and the MACD line, with the bars beginning to move in a positive direction. This is the first sign of a loss of selling momentum.
Stochastic Oscillator
The indicator rose rapidly towards the 67 level after exiting oversold conditions, indicating a potential rebound wave. However, its approach to the 70 level warns of the possibility of overbought conditions if it does not break the nearby resistance levels.
Upcoming Technical Forecast
- Positive Scenario (Corrective):
If the price stabilizes above 38142.8 and breaks the resistance at 38688.2, we may witness a corrective rise towards 39100.5, supported by positive technical momentum and indicators that have begun to reverse the trend.
- Negative Scenario (Trend Continuation):
Any failure to stabilize below 37024.6 again will push the indicator back to the 36588.3–36140.4 areas, especially in the event of the release of new negative economic data.
The most important economic factors affecting today:
- Follow the statements of Federal Reserve members in the evening, which may affect the path of future expectations regarding interest rates.
Trading strategies based on Buy/Sell levels
| US30 | In case of buying | in case of selling |
| Entry point | 38142.8 | 37024.6 |
| Target Point 1 (TP1) | First resistance: 38688.2 | First support: 36588.3 |
| Target Point 2 (TP2) | Second resistance: 39100.5 | Second support: 36140.4 |
| Stop Loss (SL) | 37024.6 | 38142.8 |
The Dow Jones Index is currently at a significant technical crossroads. Despite the emergence of technical rebound signals, the overall trend remains downward, and economic pressures persist. It is advisable not to enter randomly and wait for confirmation of resistance breaks or a retest of support. Future movements will be contingent on upcoming economic data.
