A TECHNICAL UPDATE ON DOW JONES INDUSTRIAL AVERAGE –27.1.2025

 

DOW JONES INDUSTRIAL AVERAGE

Open—44533.75--High—44545.52—Low—44332.22—Close—44424.25 on 20.12.2024.

Support:44265.02/43927.85/43373.98/43325.09/43114.79/42938.87/42628.32/42544.22/42146.33/41864.47/41831.74/41647.30/41376/41195.64/40584.47/40297.33/39994.24/39905/39868/39809/38908/38499.27.

Resistance:44431.78/44486.70/44565.26/45073.03/45386/45519/45649/45946.55/46035/46300.

Technically it is on a strong footing but critically poised and the critical points now are 44431.78---44265.02---43927.85. Please note that if it moves above 44431.78 and sustain on the closing basis then it can retest its all-time high of 45073.03 or may go beyond it also and if it sustain above it on the closing basis then the upside target could be 45386—45519---45649---45946.55 or more, similarly if it break & sustain below 44265.02 on the closing basis then it will trigger correction again and break & sustained close below 43927.85 may accelerate the down move. It is important to mention here that although the chart setup is very good but it had a vertical rise from 41864.37 to 44565.26 in just 8 days and most importantly it is showing huge negative divergence on the weekly & monthly chart, therefore it seems highly vulnerable for correction at this juncture provided it does not move above 44431.78 and sustain on the closing basis. The short, medium & long trend is up as of now.

Please note that if it gets into correction and moves down sharply then the  most critical support points would be at 42938.87----42660.09----42544.22 & 41647.30, if it breaks & sustain below 42938.87 on the closing basis then down move  may extend, if it breaks & sustain below 42660.09 & 42544.22 on the closing basis then it will make the chances of a sustained up-move dim in the year 2025 and finally if it breaks & sustain below 41647.30 then it will get into deep correction and if it sustain below it for a longer period of time then the correction could be more painful price-wise & time-wise both and may seek much lower levels.  

NOTE: - It is a technical assessment of the indices as of now, the technical interpretation changes with the price movement and time; therefore it needs periodic review, which may please be noted.

Disclaimer:-The view expressed here are solely of the author and he is not at all responsible in any way for the outcome of the trade you enter based on the above view.

Kindly note that make your cost your stop loss in favorable trade and then trail it as the price move up/down to gain maximum profit and avoid losses. Use support and resistance levels as entry, exit, target and trailing stop loss points. DO NOT TRADE WITHOUT STOP LOSS.

Note: Price stated here are of spot market.

                          Contact me for strategic guidance to enter and exit trade.

 Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.