On 28 Feb this blog said that Dow could be close to its peak and on 2 Mar Dow had in fact hit its highest point at 21180. Dow fell 237 pts to 20668 on Tuesday, its biggest decline since Trump election. Going forward Dow will continue to trend downwards with supports at 20275, 20090, 19900, 19723 and 19170. Traders are beginning to doubt Trump's ability to fulfill his election promises and they will be watching Trump's attempt at congress to repeal Obamacare. Any mishaps in Obamacare repeal effort will cause more selling in the days ahead. Traders also know that the introduction of Border Tax and Infrastructure stimulus will have to wait for the outcome of Obamacare repeal. Traders will likely run out of patience and it could trigger more selling.
All posts and charts are for educational and illustration purposes only
Post a Comment
Note: Only a member of this blog may post a comment.