DOW finally caught up the S&P 500 and notched a new record close at 36488.63 overnight. Market sentiments remained positive despite record surge in daily Omicron cases. Investors are relieved by more and more evidence that Omicron is less severe than Delta.
From a medium term point of view, DOW is holding well above 55 week EMA, maintaining a healthy up trend. Weekly MACD also suggest that it might also be picking up momentum again. Nevertheless, a important test lies ahead at 100% projection of 18213.65 to 29199.35 from 26143.77 at 37129.47. Sustained break of 37129.47 could easily trigger more upside acceleration in Q1 towards 138.2% projection at 41326.00.
