Dow Jones had a last hour sell off near the level 24150, which is also the resistance zone. I anticipate Dow to bounce between trading range of 23750–24150 for intraday trading.
A test and rejection from the resistance zone near 24150 could be an entry for short position while a rebound from the support level near 23750 (the gap support area) could form a long entry.
From a swing trading point of view, I anticipate Dow to test the targets at higher level (swing high at 24750) once it can commit above 24150.
Below are the potential long setup for Dow Jones index (DJI) for trading session on 6 May 2020.
Entry: long limit order at 23750
Stop loss: 23500
Take profit: 24150, 24400
For potential short setup if there is rejection near 24150:
Hi Ming, Is it accurate to say that the market is now going to move towards the bullish one now?
mingjong
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@ms_umm_umar, Uptrend is still intact since the bottom on 23 Mar 2020. I maintain bullish view as long as Dow is above 22500. Any pullback above this level is considered a test at higher level.