Dow Jones 30 Technical Analysis
The Dow Jones 30 has gone back and forth during the trading session on Wednesday with the 40,100 level continuing to offer a bit of support. The Dow Jones 30 of course is an interesting place to trade with tariff talks because there are a lot of companies in the US that would more likely than not be more primed to take advantage of a tariff situation.
That’s not to say that they wouldn’t hurt. It’s just that they will be less affected than perhaps some technology companies as an example. All things being equal, this is a market that I think is trying to find a range somewhere just above the 40,000 level. So we’ll see if this continues back and forth.
S&P 500 Technical Analysis
The S&P 500 also had initially been very negative but has risen a little bit since the Chinese overtures. With that being the case, I think you still have a scenario where we could go sideways. The 5,400 level, of course, is an area that has attracted attention right along with the 5,500 level. Underneath, we have the 5,300 level, and a breakdown below that could send this market back towards the 5,000 level. We’ll see. Right now, is not the time to be a hero. Quite frankly, you need stability first before you can enter a bull market.
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