The dow Jones index market outlook

PEPPERSTONE:US30   Dow Jones Industrial Average Index
US30 / 1D

Hello traders, welcome back to another market breakdown.

What do the bulls see?
The contex for bulls now is lookking much promosing, why?
They see :
1- A wedge with 3 touches, high probability for reversal.
2- The last daily close is a bull doji bar, which might invite more bulls as a signal bar.
3- The target for bears has been achieved as a second leg down from the last 2 highs, so they will buy back their shorts.
However, traders should expect the first reversal to be minor, a high probability buy signal would be for bulls to have double bottom for a possible minor reversal. The average price closes would stand as resistance. So, bulls want to see some consecutive bull bars closing above the daily EMA .

What do the bears see?
The bear scontex is not lookking that much promosing, why?
They see:
1- Their target has been reached, so they buy their shiorts causing the price to go more up.
2- They might also wait for higher prices to sell short again for a third leg down.
3- They will be also looking to sell resistances in the way. Daily Ema and previous highs are good potential setups for bears.

Let me know your opinion traders in the comment section.
Comment: First target for bulls is reached


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