DJ Resistance: 21,169 All-time high
21,115 All-time record close
21,000 March peak
DJ Support: 20,850
20,758
20,741 50 Days moving average
20,649 20 Days moving average
20,410 March low
20,125 January peak
20,000 Very strong
19,800
19,732
19,678 January low
19,370 200 Days moving average
19,200
18,800
18,668 Old all-time high
18,247 August low
18,000
17,833.23 November low (Trump rally)
17,579 Inflection point
17,125 Very strong
Technical Analysis:
Tuesday's close is the April's highest for DJIA and S&P. The important point is that the negative trend line was broken by DJIA and S&P. The bullish triangle (watch last week and today's chart) formed with the negative trend line and the line support DJ19,410 has worked technically and the up move is strong and has formed a bullish gap.
NASDAQ COMPOSITE has got a new all-time high which is very bullish for the market.
This up move is going to have bullish consequences if breaks DJ21,000 and SP2,388 mid-March high for both.
The two indexes have closed again atop their 20 and 50 days moving average (DJ20,649 and 20,741, SP2,360 50 days moving average) which is bullish technically because what it counts is the market behavior against the resistances.
Resistances for DJIA are DJ21,000, DJ21,115 (all-time close) and 21,169 (all-time high)
The trend in the three terms is bullish-leaning.
Please click over the chart to enlarge it.
Fundamentals:
French election clarified that France is going to stay in the European Union (EU),that allowed the stock market advance on Monday and Tuesday.
The next pace is understand what Trump and his team are going to do. The economy and the corporations are doing well, we can confirm it with the corporate earnings that we are witnessing in the last days. The more pro-growth would be the White House and Congress the higher stock prices would take place.
Trump has announced for Wednesday 26/4 a new tax plan which he called "...bigger, I believe, than any tax cut ever". If he convinces investors that indeed this is the pro-growth that he has promised, the stock market will look for the all-time high. When he announced it last Wednesday the U.S. stock market came down. Investors are going to analyze in detail the plan and its possibilities of the willingness of Congress to vote into effect. The idea of a greater deficit scares investors.
There are other geopolitical problems like North Korea.
Dear traders and investors, if the market considers viable the Trump tax plan we will see soon S&P over SP2,400 and DJIA over DJ21,169.
Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!
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