Out of the 3 main American Indexes, the Dow Jones looks right now the strongest. So currently it is better to look for bearish opportunities in the other two indexes (S&P500 and Nasdaq100).
The same Daily bearish setup that exists on the S&P exists in the DOW as well, but the path to reject that bearish setup is much shorter and easier in the Dow.
Taking out the High of last Wednesday at 17700 on this very Monday means that the current bearish setup is most likely rejected. In that case, it is better to cut the loss than to wait for a probable Stop hit at the Weekly High.
If, on the other hand, we see more consolidation on a day or two, and only after Monday the 17700 level is taken out, then it is still bearish, stops above 18832 (The Weekly High), and possible target for the Daily bearish setup is at 17320 ~.
Currently it looks as if the market “needs” another week of consolidation before the real next move starts, so do not be surprised to have a small range week, and the short term direction decision might be delayed till next week.
Strong resistance levels to pay attention to are at 17740 and 17870 till 17890.
Strong support level is at 17400.
Disclaimer: Anyone who takes action by this article does it at his own risk and understanding, and the writer won’t have any liability for any damages caused by this action.