The Dow Jones industrial average has successfully touched based at 32,000 but it did not managed to sustain beyond that. However, it is too early to call for a short confirmation now as prices has yet to break below the rising wedge. Hence, the potential two scenario remain the same based on the report on 15th Feburary 2021.
Hence, the only way to confirm the correction is to break the resistance turned support zone at 29,499-28,892. Otherwise, we remain our outlook to 123.6%-138.2% extension level resistance zone.
The daily chart shows Dow’s slowing of momentum in the actual price chart and the Relative strength index remain flat despite the upside thrust of RSI, it fails to break the high of the RSI(above 80). As such, the short-term outlook remain shaky and cautious.
Prices should be testing the key resistance turned support zone.