Dow Jones (DJI) held the dashed Higher Lows trend-line and rebounded, as we outlined on our last week analysis:
That was on the 4H time-frame, now we zoom out to 1D where the index broke again above the 1D MA50 (blue trend-line) but after last weeks 34,390 rejection, it remains within the High Volatility region.
As long as the 1D candles close above the (dashed) Higher Lows trend-line, we are expecting not just a re-test of the 34300 August 16 High but also a direct hit on the 34910 December 13 High. The reason is that, as we mentioned last week, the current price action based on RSI terms, looks very similar to that of October 03 - 21.