DJ Resistance: 22,850.51 All-time High
DJ Support: 22,685
22,450 20 Days moving average
22,420 Breakout
22,220
22,119 Breakout
22,100 50 Days moving average
22,000
21,912
21,682 July peak
21,600 Strong
21,535 June peak
21,200
21,115 Strong
21,080 200 Days moving average
20,800
20,590
20,400 Strong
20,125 January peak
19,732
19,678 January low
Technical Analysis:
The indexes are in new all-time highs and in unknown territories. S&P and DJIA have gotten our targets for before the year's end, they got it earlier than we had expected.
Consolidation range is DJ22,119 - 22,850.51
The breakouts in the way up should work as strong supports.
The trend for the short and midterm is bullish-leaning barring a violation of the supports.
Please click over the chart to enlarge it.
Fundamentals:
DJIA closed 69 points higher this Tuesday. This week we will have important economic news that should affect the markets like retail's Redbook report, Mortgage applications, FOMC minutes, Jobless claims, Producer Price Index, Retail Sales figures, Business inventories and Consumer Sentiment. We will have a lot of work on the weekend analyzing the new data.
The markets are flying in uncharted territories and showing strong conviction about the economy and corporate activity. The market resilience is present almost every day.
Next week earnings season begins and I expect firm results according to the recent information of the development of the economy. That means more gains to materialize in the stock market. Normally earnings season affects the market driving it up.
The upcoming tax reform is underpinning the market.
Political possible problems in the U.S.A have to be paid attention like the budget in December, healthcare, and international field with North Korea, certification of Iran deal.
Dear traders and investors, the market is in a strong way to the upside. My targets, DJIA 22,750 and S&P 2,550, have been reached before the year's end. I need to assess the coming market behavior during this coming three month.
Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!
Ulises
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