Dow Jones - H4
Our expectations - After the break of the main bearish diagonal, the index price returns to testing it twice in the last few days. The price is currently in a strong support area formed by a basic diagonal, horizontal and 38.2% Fibonacci correction of the new upward movement. DeMarker is also backing out of the over-sales area and pointing upwards - positive for the price. 50 and 200SMA remain beached, with a number of breakthroughs in the 4 hour chart, followed by Double Bottom. It is at the moment that the price forms and tests the second low of the formation. Price Action - a bullish pin bar that is currently being tested and the price gives us good entry levels with the finest Stop Loss possible.
SL: 24 473.38
Alternative Scenario: If the price goes below the support area, the positive scenario will be spoiled and more likely to see a Dow Jones decline.
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