The DOW this week 26/08 30/08

ChartMan

Legendary member
5,580 46
The drop on Friday looks to be temporary....The Bear Flag target of 8730 was met, bar 20 odd points. There it found immediate support and rallied into the close to end 50 points up on the day. We can see an Inverse H&S formed that should take us on up and Phase is confirming the move sitting mid channel. The target for the Inv. H&S is 8950 or so and the dow needs to get theres quickly tomorrow to be a valid continuation. Clear down trend channel breakout on RSI and CCI
 

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ChartMan

Legendary member
5,580 46
Looks like news killed that move and we have moved back into the down channel. The 8950 target was touched having managed to recover the drop on the news, but from there it never looked like recovering.So the breakout yesterday was short lived and I don't see anything to suggest some upside.....Next support 8728 followed by 8600. 8728 is close to 38% retrace at 8744.
 

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ChartMan

Legendary member
5,580 46
Clear rounded top developed now. The question is wil 50% hold or is there more down side? Phase appears to have moved out of the down channel and RSI and CCI have not made lower lows in line with the price.On balance, should be up.
 

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ChartMan

Legendary member
5,580 46
A dip and go off 68% may have saved the day. RSI and CCI offering solid horizontal support. Phase at the top of the down channel so we are setup for a possible recovery to the upside.
 

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ChartMan

Legendary member
5,580 46
Rounded top has been stopped but there's no clear sign of where we're heading. The last two days have formed a possible Bear Flag that would give a target of 8330. On the other hand, Phase seems to have broken out of the down channel giving positive divergence.
No trading Monday- USA holiday.
 

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