The Dow Jones consolidates as Fed Chairman Jerome Powell stressed again on the temporary nature of inflation. The rally has halted at May’s high at 35090.
The RSI divergence shows a loss in the upward momentum, suggesting that buyers were eager to take profit. A shooting star at the latest high is another indication of a lack of commitment from the buy-side, which may foreshadow a correction.
34660 is the key support and its breach would prompt short-term buyers to bail out, confirming the U-turn in the process.
