US stock markets opened higher with the Dow Jones 30 #INDU Index moving higher, after it closed with a downward correction on Friday.
In the 4-hour chart, we can see the Dow Jones #INDU, which is located above the SMA of 21, and very close to the strong resistance of 34.140.
The Eagle indicator shows that it has been consolidating in the overbought zone for several days, which is a sign that a downward movement to the 33,740 and 33,500 zone could occur in the short term.
On the other hand, given that there is strong resistance at the 34.140 area, we expect a pullback towards this level that will give us a good selling opportunity.
This week for sure there will be a lot of volatility in all of the US index, as the US Nonfarm Payrolls will be released on Friday.
The market sentiment report for today May 3 shows that there are 63% of traders who are selling the Dow Jones. This is a sign that a strong bullish movement could occur if the Dow Jones breaks the resistance level of 34140. With targets at 8/8 of murray around the 34,375 area.
Support and Resistance Levels For May 03 - 04, 2021
Resistance (1) 34,150
Resistance (2) 34,263
Resistance (3) 34,319
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Support (1) 33,923
Support (2) 33,743
Support (3) 33,675
