The US 30 (cash) index declined below the 50-day simple moving average (SMA), continuing the selling correction from the 29,210 resistance. From a technical perspective, the MACD is moving sideways near the zero level, while the RSI is pointing down below the 50 level.
More downside movements could send the price until the next support, which is the 23.6% Fibonacci retracement level of the upward wave from 18,145 to 29,210 at 26,571. Below this level, the 200-day SMA at 26,253 could halt bearish movements before challenging the 38.2% Fibonacci of 24,968.
In the medium-term timeframe, the price is strongly positive and a clear jump above the all-time high of 29,582.61 could endorse this outlook again, however, a slip below the 200- and 100-day simple moving average (SMA) may shift the bias to neutral-to-negative.
To sum up, the index has been creating a bullish tendency despite the lack of direction on the momentum indicators.
