If we dissect the right shoulder of the bigger head and shoulder seen on the daily chart via hourly chart, we see a head and shoulder breakout! It has been breached on Friday and the prices are now trading slightly above the neckline seen around 17,590. One may be compelled to think the bearish break has failed since prices are back above neckline...however, ...
Dow Jones closed just below 17,538 levels (23.6% of Feb low – April high) and also confirmed head and shoulder breakout. The neckline, now resistance, stands at 17,606 levels. Bearish invalidation is seen only if there is a day end close above neckline, while buying interest would spike if prices close above May 10 high
detail is above for a week simple plan. this pairs is clear still in bull pressure, but carefully with deep retrace for possible complete pattern or deeper correction at (red lines/ib's break). and my scenario is try to put PO (sell stop) at around 17480 levels, hopefully price will down to legs from Gartley. sorry for my English and see tomorrow :D
After failing to breakout and continue higher, the Dow Jones seems to resume its current behavior: moving straight down after having moved straight up. On the monthly this market is trading right inside of the balance zone, now we might see a simple continuation of this correction by a heavy drop down, just like we saw it twice already.