Below looks at the Dow Jones Industrial Average over the past couple of years:
The Dow has experienced a quality rally over the past 16-months inside of rising channel (A). The Dow started acting heavy and rapid selling took place as it was testing the top of the channel at (1).
The quick 10% decline took it down to the bottom of the rising channel at (2) a week ago today, where a bullish reversal pattern took place.
Joe Friday Just The Facts Ma’am: Dow bulls don’t want to see it start acting heavy again at (3) in the chart above!
The SPDR Dow Jones Industrial Average ETF (DIA) closed at $251.96 on Friday, down $-0.54 (-0.21%). Year-to-date, DIA has gained 1.85%, versus a 2.34% rise in the benchmark S&P 500 index during the same period.
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This article is brought to you courtesy of Kimble Charting Solutions.