Dow Jones 30 Price Forecast – Dow Jones 30 Continues to Grind Away

Dow Jones Technical Analysis

The Dow Jones 30 has done almost nothing during the early hours on Tuesday, as we continue to see a lot of back and forth behavior. At this juncture, I believe that the 41,600 level underneath is a significant support level, at least for short-term traders.

Even if we were to break down below there, the 50-day EMA sits just below, and it should continue to offer support. In general, I think it’s likely that the market will continue to see a lot of noisy behavior, but ultimately, at the end of the day, most people are focusing on the Federal Reserve and the loose monetary policy.

After all, a lot of the Dow Jones 30 companies will be direct beneficiaries of cheap money, as perhaps industry will pick up in America. That being said, the market is likely to continue to see a lot of noisy and erratic behavior, but all things being equal, this is a market that I think continues to go reaching towards the 43,000 level.

In general, I think the market going back and forth is probably a feature, not a bug. But in general, this is a market that has been rising for several months and I just don’t see anything that changes this. Even if it does pull back rather significantly, then the Dow Jones certainly would have to break down below 40,000 before we would even have to look at it through the prism of perhaps being a negative index for a longer term move.

For a look at all of today’s economic events, check out our economic calendar.