Within the 15 years uptrend, the DJIA corrected twice at -12.6% and -15% for an approx 2.6 years followed by two downward corrections during the markup phase at -9% and -8% which are the lowest correction percentages since 2009 to date.
Nine days left for January's candle to close which is currently at 0.46% versus 8.7% and 4.8% for Nov. and Dec 2023 respectively. Moreover, although the MACD is above the zero line, the RSI broke the 50% level in effect to the -29% and -22% downward correction twined with negative divergence between the RSI and price action since Jan 2018.
Accordingly, the current uptrend will be intact given the DJIA trades above 36,952 targeting 41,000. An important support would be 32,580 which maintains the trend survival followed by the second most important support zone between 28000 and 26000 which would trigger trend reversal if the DJIA closes below it targeting 23,100, 20,900, and 18000.
Recommendation: Buy if DJIA closes above 37,900.
Nine days left for January's candle to close which is currently at 0.46% versus 8.7% and 4.8% for Nov. and Dec 2023 respectively. Moreover, although the MACD is above the zero line, the RSI broke the 50% level in effect to the -29% and -22% downward correction twined with negative divergence between the RSI and price action since Jan 2018.
Accordingly, the current uptrend will be intact given the DJIA trades above 36,952 targeting 41,000. An important support would be 32,580 which maintains the trend survival followed by the second most important support zone between 28000 and 26000 which would trigger trend reversal if the DJIA closes below it targeting 23,100, 20,900, and 18000.
Recommendation: Buy if DJIA closes above 37,900.