Dow Jones Industrial Average has become volatile and currently facing resistance around $34,400 to $34,200 price area. Dow Jones remains below $34,400 price area. Bears to regain momentum in the coming days? What are the charts and technical indicators are saying? Read more to find further insights into today’s DJI Technical Analysis.
May 24, 2021, | AtoZ Markets - Dow Jones Industrial Average is currently trading around $34,200 price area and trying to push lower. After hitting an all-time high of $34,800 to $35,000 price area, the bears have regained momentum and pushed the price down towards $33,500 to $33,300 price area. As per the current price action context, the price may face strong support at the dynamic level of 20 EMA on the intraday chart in the coming days.
Dow Jones Remains Below as the Event Level Working as Strongly
Dow Jones is currently residing near $34,200 price area and trying to push downside. However, the price has successfully filled up the bearish gap after bouncing from $33,300 to $33,500 support area.
Image: DJI 4 Hour Chart
According to the 4-hour chart, Dow Jones remains below and currently trading around $34,200 price area. As per the current scenario, if the price can have a bearish candle close below $34,400 to $34,200 price area, the bears may push the price downside towards $33,500 to $33,300 area in the process. Alternatively, if the price can break over $34,200 to $34,400 resistance area with an impulsive bullish candle, the bulls may recover higher towards $34,800 to $35,000 key area in the coming days.
In addition, the dynamic level of 20 EMA is currently residing below the price. So, it may work as strong support to push the price higher. Besides, the Stochastic Oscillator lines are currently residing above the mid-level 50 and gradually moving upward. It indicates that the bulls may continue further upside in the days ahead.
DJI May Strike Higher
According to the daily chart, Dow Jones remains below, but the overall bias is still bullish. As per the current price action, if the price can break above $34,200 to $34,400 price area with an impulsive daily bullish candle, the bulls may continue further higher towards $34,800 to $35,000 price area as a first target. The second target will be $35,400 to $35,500 price area if the price can break over $34,800 to $35,000 resistance area in the coming days.
Image: DJI Daily Chart
Moreover, the dynamic level of 20 EMA is currently residing below the price. Along with the Bollinger Bands middle band. So, the dynamic level may work as strong support to push the price upward. Besides, the Bollinger Bands' middle band may work as a confluence of the dynamic level in the process.
To conclude, as long as the price residing over the dynamic level on the daily chart, the bias will remain bullish. A daily close will help to identify the definite momentum in the coming days.