Near Term Bearish

DJ Resistance:  21,169      All-time high
                           21,000
                           20,910      20 Days moving average
                           20,743

DJ Support:      20,640      Breaking point
                           20,600      Strong
                           20,400      50 Days moving avergae
                           20,125      Strong January peak
                           20,000      Very strong
                           19,800
                           19,732      Strong
                           19,678      January low
                           19,200      Strong
                           19,090
                           19,004      200 Days moving average    
                           18,800  
                           18,668      Old all-time high
                           18,247      August high
                           18,000      Strong
                           17,833.23 November low
                           17,579      Inflection point
                           17,125      Very strong

Technical Analysis:
Supports DJ20,640 and 20,600 are working well. The potential is at DJ20,600 where a technical test will be try by the bears.
The market has reversed from DJ21,000 last week that changes the trend to a bearish leaning in the short term. It has formed a lower high.
If the support at DJ20,600 (it is strong) does not work, next support should be DJ20,400 50 days moving average.



Please click over the chart to enlarge it.

Fundamentals:
As I have explained in my previous blog the "support will be tested furiously" because we should enter in a consolidation phase. Economics are sturdy which include 4.8% unemployment rate, corporate earnings are steadily raising please watch S&P's Q4 corporate earnings +7.1% over past year, quarterly earnings value hit $287.4 billion, consumer is solid and Trump planned reforms should stimulate the economy. But there are some doubts about Trump policy like Trump trade and uncertainties over U.S. healthcare overhaul fuel concerns about the pro-business agenda. Bond, yen and gold gain as traders seek traditional havens.
Markets were hit by biggest fall from Trump's election this Tuesday.
Thursday 3/23 Janet Yellen's speach, market will try try to get information about interest rates raise. On Friday we will get Durable Goods and PMI Composite Flash Report.

Dear traders and investors, U.S. economy is doing well, we could have a retracement or correction until DJ20,400 (50 days moving average) or DJ20,000 area, my opinion is still positive with the stock market. Consolidation will be done below DJ21,000. Stay long!

Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!