(MENAFN– Daily Forex) The dow jones Industrial Average fell in its recent trading on intraday levels, recording losses in its last session by -0.61%, to lose about -207.68 points. It settled at the end of trading at the level of 33,949.02, after the index rose during Tuesday’s trading by 0.78%.
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Wall Street fell in the latest session as investors worried about the impact of a slowing economy on corporate earnings and hawkish comments from Federal Reserve officials.
Interest rates remained a major topic of discussion, on Tuesday stocks closed solidly higher after the emergence of Fed Chair Jerome Powell, who calmed the markets by not escalating his hawkish tone in response to last week’s stronger-than-expected jobs report.
Wednesday saw a series of other Fed speakers generally fail to point to any discernible shift in dovish attitude, including New York Fed President John Williams, who said it was ‘very reasonable’ for interest rates to rise to 5%. Meanwhile, Minneapolis Fed President Neel Kashkari and Governor Christopher Waller both called for interest rates to be raised as well.Dow Jones Technical Analysis
Technically, the index moves with a limited range of sideways trading, supported by its trading above the simple moving average for the previous 50-day period. This happened amid the abundance of positive signals in the relative strength indicators and considering its trading along a corrective and sub-bullish inclination line in the short term, as shown in the attached chart for a period (daily).
Those recent narrow trades come as a continuous attempt by the index to gain more positive momentum that may help it recover and breach the pivotal and stubborn resistance level at 34,281.36.
Therefore, our expectations suggest that the index will rise again during its upcoming trading, but this time it must first breach the aforementioned 34,281.36 resistance level to confirm the index’s intention to rise, to then target directly the first resistance level at 35,361.36.
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