Chart of the day

DJIA is reaching the top of the downside channel 34200 after the rejection from 35000. This is the critical resistance, and a break above is required for the upside continuation.

A rejection here, especially a break below 34000, would lead to a downside correctional reversal lower to test 33240 and extend in the fifth of the possible five long-term waves lower. The rejection and a confirmed break below would mark the end of the fourth wave and the beginning of the fifth wave. If you are not long from 32000 do not enter long trades and cut part of the position or the whole position in profit, long trade entries would be available upon a confirmed break above 35000.

Look for a possible short trade upon a break below 34000 with a stop loss above 34300 to target 33000 and lower.