Dow Jones
Dow has been trapped just below 50% Fibonacci level after hitting moving averages as seen on the provided daily chart. The current trading levels are very sensitive and they force us to remain on the sidelines, as risk versus reward ratio is inappropriate.
RSI14 remains positive and also ADX, but they are showing signs of exhaustion and that supports the technical idea of staying aside. A break above 16775.00 is positive, while coming below SMA50 hints at witnessing pullbacks.
- Support: 16550.00-16410.00-16330.00
- Resistance: 16685.00-16780.00-16820.00
- Direction: Sideways
S&P 500
S&P 500 Futures are flirting with 50% Fibonacci, offering inappropriate risk versus reward ratio, while trading is very close to SMA50.
RSI14 and ADX are showing signs of weakness and that is why we prefer to stand aside. A break above 1993.00 is required to turn into positivity and coming below yesterday’s low at 1960.00 will be a negative signal for intraday traders.
- Support: 1950.00-1943.00-1920.00
- Resistance: 1993.00-2000.00-2007.00
- Direction: Sideways