4 years ago

Dow breaking out or false break?

On Friday night the Dow (and S&P 500 ) made a new high, with the final closing price off the high.

This sets up a potential false break, the chart is highlighted on the left with a similar scenario at the 17163 level.
Considering the overall price is some distance from the 200 day moving average and a series of very weak
trading periods last week there would be concern of profit taking at this point.
17700 point is the most obvious support level on any weakness.

Dow Daily