The Dow Jones index is trading in the green zone: at the moment, the price is near the resistance level of 24804.7 (Murrey [3/8]); after consolidation above it, the next target will be 25000.0.
Investors are optimistic, because Larry Kudlow, the adviser of the US President, said at the G20 summit, that China and the United States can still make a deal. But, as it became known, European goods, in particular, the automotive industry, may be subject to sanctions.
The second positive factor for the market was the results published by online retailers after a Black Friday: sales rose 23%, breaking the USD 6 billion mark. The index was also supported by the shares of the automotive concern General Motors, which grew by more than 4% after the information about the company's intention to reduce the staff and redirect the excess funds to the development of electric vehicles and self-driving cars. Domestic sales may also increase if Washington really approves a package of tariffs for European cars.
Support and resistance
Stochastic is at the level of 98 points and indicates the possible correction.
Resistance levels: 24804.7, 25000.0.
Support levels: 24609.4, 24414.1.
Short positions may be opened from the current level with the take profit at 24609.4 and stop loss at 24890.0.
DJIA index of the American stock exchange
|Support levels||24414.1, 24609.4, 24804.7, 25000.0|
The material published on this page is produced by the Claws&Horns Company and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC; furthermore it has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research.