The Dow continues ascending and today it added 0.36% making again a new 52 week high. As it keeps climbing my last target established at 14429 on February 1 was surpassed, so now it is on uncertainty territory.
Definitively is you did not enter early now is not a right time to go long on the Dow’s ETFs, it is an exercise on patience but what I’m doing is waiting on the sidelines for a short or at least a correction on the move since I don’t have a new uptrend target.
What happened was on February 1st I got a new target but also my January 11 target was reached so I was kind of in a dilemma, so in February 5 I sold with my original target in mind, it proved wrong because the Dow Jones kept climbing without crossing the support line for that week, anyway it was a 7.3% leveraged profit in 20 trading days, I really do not believe on buy and hold.
As you can see in the chart, the angle was a near perfect 45 degree so the volatility ignited move was a no brainer. Always suspect a long move with a steep angle since it tends to correct quickly.
Support for this week is at 14278.
Sorry for not posting for a couple of months, I’ll try to make time.
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- Erick Stern
- I am a civil engineer who likes charts, to me, speculating in the markets is both a hobby and a second profession and in my view the stock market is the most honest environment, since it is only your knowledge and preparation that matters. I live, and work in the construction industry, in the Dominican Republic. I read and answer all my mail so please feel free to write firstname.lastname@example.org Thanks, Erick