Chart of the day

Where do we stand fundamentally?

As a blue chip Index DJIA did not gain as much as its peers NASDAQ and SPX with tech stocks. Perspectives for interest rate cuts could support the DJIA upside breakout and its blue-chip stock constituents.

DJIA is going for a test of the strong 40000 resistance. A break above this resistance could lead to an extension higher in the fifth wave to 44000. The support for this move higher is 38900.

An invalidation level of a third wave extension higher is 36900. We need to see a confirmed break higher than 40000 for the fifth wave extension to be confirmed and a target of 44000 to be reached.

_{Look for a long trade entry with a stop loss below 38700 to target 44000 at least.}