• Dow Jones reversed form resistance zone
• Likely to fall to support level 34210.00
Dow Jones index recently reversed down form the resistance zone lying between the pivotal resistance level 34800.00 (which has been reversing the price from the start of May) and the upper daily Bollinger Band. The downward reversal from this resistance zone created the daily candlesticks reversal pattern Dark Cloud Cover – which stopped the earlier short-term impulse waves (iii) and iii.
Given the strength of the aforementioned resistance zone, worsening risk sentiment seen across the stock markets today – Dow Jones index can be expected to fall further toward the next support level 34210.00 (low of the previous minor correction ii from last month).