Dow Jones: Weiter im Uptrend

Continued Uptrend

Dow trends higher, forms clear lower trend line.

The Dow got the upside break through 10,300 today, which sparked a solid gain on the session worth 80 points, as seen in the 15 and 60 Minute Charts. The index continues to trend higher above a clear lower trend line, which has formed beneath the lows of the last week of trading; keep an eye on this line.

Watch 10,300 tomorrow as a downside break of this level will breach the key lower trend line from the 15 Minute Chart. Such a break will likely push the index back down toward the lower boundary of the clear uptrending channel at around 10,200, seen in the 60 Minute Chart. Otherwise, an upside push through 10,365 will indicate continued strength.

Short Term Dow

Short term, the Dow has formed a clear trading range at the highs of the 5 Minute Chart from 10,300 to 10,365. Watch for a break from this range for direction at the Open.

Medium Term Dow

In the medium term, we are still Long the Dow from 10,215 and will move stops up to 10,300 for tomorrow's market. We will want to stay Long above 10,370 and will look for Shorts below 10,300; using 20 point stops.

NASDAQ & S&P

The NASDAQ and S&P each trended higher today, as each continues to gain above clear lower trend lines. Look for continued strength, unless a downside break through the lower trend line occurs.*

Summary

The Dow closed the session solidly higher today, as the index continues to trend higher above a clear lower trend line. Look for continued strength above 10,300, unless a downside break occurs here. Such a break could lead to a push lower toward 10,200.

Thanks for listening, and Good luck in your trading!

Ed Downs
edowns@nirvsys.com

with assistance from..
Frank Ochoa, Market Analyst
fochoa@nirvsys.com

** Note: We are now posting Index entries and exits in Real Time, through our new Intraday Index Alerts service. To learn more about the service, visit SignalWatch.com and select Intraday Alerts from the main navigation bar. - SW Team