On the daily chart below, for the Dow Jones we can see that once the price managed to break above the trendline and the 32684 resistance, the buyers piled in aggressively and extended the move all the way up to the key resistance at 33538. This is a very strong level as you can see by looking left.
The price reacted to this level several times in the past. We may have already a hint that even this time the market will react to the level because the price is overstretched as depicted by the price distance from the blue short priod moving average. This is generally a signal to be cautious as the price often pulls back to the moving average .
Dow Jones technical analysis
On the 4 hour chart below, we can see that there’s some rejection from the level as the sellers should be already leaning on the level for new shorts. The overall market structure is bullish though, so the sellers will have a lot of work to do before flipping the market back into a bear one. The price will need to fall below the 32684 support to invalidate the bullish trend and give the sellers again control.
In the 1 hour chart below, we can see that the latest bullish move came as the price broke above the resistance of the little ascending triangle. A clear target for the sellers would be the previous resistance that now may turn support, where we can also find the 38.2% Fibonacci retracement level. This is also where the buyers may start to pile in targeting a break above the 33538 resistance.
