In the early hours of the American session, the Dow Jones, #INDU, is trading just below the SMA of 21 (33,976), within a downtrend channel, slightly sloping, supported by the eagle indicator for a bearish move in the next few hours.
The Dow Jones, from its maximum in the 34,200 zone, has been consolidating. We have noticed that it has made several attempts to break the 34,150 level. Now we notice exhaustion, since the last candles have left a Doji that could be a signal of a trend change or at least a technical correction.
On the other hand, the markets are waiting for some clue about further monetary policy from the Fed, which will be released on Wednesday. There is only speculation for now, and it is likely that the Dow Jones will consolidate until waiting for the data to be published.
This data from the FED can move the stock market very strongly, and the Dow Jones fall to 7/8 of Murray located at 33,593.
Our recommendation is to sell at current price levels, as long as the Dow Jones is below the 21 SMA, targeting the bottom of the bearish channel or at 33,590.
Support And Resistance Levels For April 27 - 28, 2021
Resistance (1) 34,015
Resistance (2) 34,114
Resistance (3) 34,230
Support (1) 33,905
Support (2) 33,817
Support (3) 33,696
