Dow stands holds in red on Thursday and hit new marginally lower three-week low at 24323, signaling that this week’s steep fall which paused on Wednesday, is going to continue.
Brief consolidation on Wednesday, ended in strong upside rejection, marked by daily candle with small body and long upper shadow.
Daily techs maintain strong bearish momentum, with formation of 10/200SMA death cross, adding to negative outlook.
Fundamentals are also weak as concerns about US/China trade conflict and rising fears about global growth slowdown, keep stock markets in red.
The action on Thursday is expected to be limited as Wall Street will be closed for Thanksgiving day, but overall negative outlook sees risk of final push towards key short-term support at 24085 (29 Oct spike low), violation of which would open way towards next key point at 23895 (weekly cloud base).
Friday’s close below 24530 (broken weekly cloud top) is needed to confirm strong bearish stance, as Dow is on track for the second strong bearish weekly close.
Res: 24530, 24658, 24782, 24890
Sup: 24323, 24085, 23978, 23895
