Dow Jones 30 Technical Analysis
The Dow Jones 30 is currently hanging around the 42,000 level and the 50-day EMA, and much like the NASDAQ 100, it is just waiting on information. Because of this, there probably isn’t a whole lot to do in these markets beyond short-term trades, so do keep that in mind.
All things being equal though, we are in an uptrend, so I really don’t have any interest in shorting this market. And therefore, it’s more or less a matter of whether or not we do pick up some type of momentum to turn things around. Keep in mind that Tuesday evening in America will be very volatile in the electronic trading as election results come in.
So as a general rule, unless there’s a complete blowout, and the market completely loses its mind. Any massive sell-off does tend to end up being a buy-on-the-dip opportunity, but you have to be very careful with that because we’ve seen the last couple of elections, sometimes when they start selling off, they’ll sell off a couple thousand points pretty quickly. So obviously you have to be very cautious.