This Index has weakened after an impressive rally earlier this month, peaking at 25400.00. Trade war worries shift sentiment to a more defensive stance and Investors rotated into Tech early last week leaving industrials searching for liquidity. The trend line was loss as price tried to stabilize at the 50 and 55 period MAs but selling on Friday sent price under 25100.00 and we are now 500 points lower. Support today comes in at 24500.00 followed by 24345.00 and 24245.00. A loss of 24200.00 would target 24000.00 on the initial drop.
Resistance comes in around 24700.00 with the 200 period MA at 24839.00 and the nearby level of 24862.00. The 100 MA is found just under 25000.00 at 24976.5 and this level is important from a psychological perspective as seen by the jump higher on the 6th of June. The 50 and 55 period MAs are declining at 25050.00 and were retested as resistance after they were broken last week. A break above 25240.00 would encourage bullish traders that this market can create new highs.
