From a monthly perspective, and filtering out short-term noise using the line chart, the Dow’s price action has been contracting since its bullish rebound from the 2020 lows, with overbought momentum previously recorded in November 2024 and April 2021.
This setup highlights the potential for long-term reversal risks near the upper boundary — specifically along the trendline connecting consecutive higher highs from November 2021 through November 2024.
If the trend extends beyond the 48,000 resistance, further advances could target 48,400 and 49,000, with 51,000 seen as an extreme projection before another major correction phase.
Conversely, a confirmed hold below 46,900 would indicate renewed pressure, potentially driving prices toward 46,600 and 46,200, where a technical rebound could occur.
If not, a deeper retracement toward the 45,000 region (previous significant resistance of 2025) may emerge.
Written by Razan Hilal, CMT
This setup highlights the potential for long-term reversal risks near the upper boundary — specifically along the trendline connecting consecutive higher highs from November 2021 through November 2024.
If the trend extends beyond the 48,000 resistance, further advances could target 48,400 and 49,000, with 51,000 seen as an extreme projection before another major correction phase.
Conversely, a confirmed hold below 46,900 would indicate renewed pressure, potentially driving prices toward 46,600 and 46,200, where a technical rebound could occur.
If not, a deeper retracement toward the 45,000 region (previous significant resistance of 2025) may emerge.
Written by Razan Hilal, CMT
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Aviso legal
As informações e publicações não se destinam a ser, e não constituem, conselhos ou recomendações financeiras, de investimento, comerciais ou de outro tipo fornecidos ou endossados pela TradingView. Leia mais nos Termos de Uso.