DOW managed to break into new intraday record overnight before pulling back slightly, but it was enough to secure a fresh record close. The excitement around the index’s performance is palpable, yet the overall market sentiment might hinge on Nvidia’s upcoming earnings report on Wednesday. Investors are keen to see the second-quarter results to assess the ongoing strength of the AI trade, which has been a significant driver of market gains.
Technically, doubts persist regarding the Dow’s ability to sustain its record-breaking momentum. Firm break below 40584.47 support would indicate that a short term top was formed, and set up deeper pull back to 55 D EMA (now at 39893.83), or around 40k psychological level, before DOW decides on its next move.
