Dow Jones Is Under Pressure, Nasdaq Slipped
25 January 2012 19:00:37 WIB
Dow Jones
Dow Jones is back under pressure and testing the support at 12559. A break of this support will capitalize the bearish pressure to the next support at 12524. Anyhow, hourly stochastic and CCI are in oversold condition. We will be watching those indicators. Any appearance of bullish signals from both of them will open the chance for pullback to the resistance at 12616, with note if the index stays above 12559.
The bias will turn to bullish if the resistance at 12650 breaks. In that case, Dow Jones probably will strengthen up to 12707.
Nasdaq
Correction occurs on Nasdaq, approaching the support at 2437.81. Hourly stochastic and CCI are oversold so that there is a potential for rebound up to 2449.44 if bullish signals appear before the support at 2437.81 breaks. Furthermore, acceleration above 2449.44 will sharpen the bullish bias and the index probably will run to the level of 2468.25.
The bias will turn to bearish if the support at 2437.81 breaks. In that scenario, Nasdaq is expected to weaken to the next support at 2419.00.
