Support – 17,638, 17,539 (23.6% of Feb low-Apr high), 17,418 (May 18 low).
Daily chart pattern – Falling channel
- Sharp rally seen yesterday pushed up back above 50.00. Given the are trading 70 points higher, the index is likely to open around 17,758 (channel resistance).
- Further gains towards 17,811 cannot be ruled out as risk sentiment is likely to stay intact (Greek crisis is out of the way).
- However, note that Greek deal also means one less hurdle in the way of Fed rate hike. The 2-yr treasury yield is above 0.90% and could near 1% and thus weigh over equity markets.
- Rejection/Failure to sustain above 17,758 (channel resistance) followed by a break below 17,638 could trigger fresh selling in the markets.
second do you think that DJI will break 18363 which is the HI of May 2015 ?!!!
Please your answer will be highly appreciated .