Investors will likely watch how The Dow Jones Industrial Average (DJI) trades on Friday after the index posted a🐲 new record high today, closing ab꧙ove 42,000.

Like, its broader counterpart the S&P 500 (SPX), which also registered an 澳洲幸运5官方开奖结果体彩网:all-time high (ATH) on Thursday, the 澳洲幸运5官方开奖结果体彩网:30-stock index continues to gain momentum following yesterday’s 澳洲幸运5官方开奖结果体彩网:big half-point rate cut by the Federal Reserve.

After closing slighting lower on Wednesday in the aftermath of the Fed decision, the index bounced back sharply today. That may have be a result of market participants betting on the Fed remaining aggressive with 澳洲幸运5官方开奖结果体彩网:interest rate cuts, potentially slashing the benchmark federal funds rate by another 75 basis points, as the central bank aims to manufacture a soft landing for the economy after a period of persistently high 澳洲幸运5官方开奖结果体彩网:inflation.

Below, we’ll take a closer look at the Dow’s chart and point out important 澳洲幸运5官方开奖结果体彩网:technical levels to watch out for.

Ascending Triangle’s Successful Retest

An 澳洲幸运5官方开奖结果体彩网:ascending triangle formed on the Dow’s chart between July and September before the index staged a breakout above the pattern’⛦s top trendline on Monday. In recen𒁏t trading sessions, the index eased slightly to retest the initial breakout area before continuing its move higher on Thursday.

While the 澳洲幸运5官方开奖结果体彩网:relative strength index (RSI) confirms bullish price momentum with a reading near the 70 overbought threshold, it also increases the possibility for 澳洲幸运5官方开奖结果体彩网:pullbacks within the index's longer-term uptrend.

Measured Move Upside Target For The Dow

To forecast a chart-based upside target, investors can use the 澳洲幸运5官方开奖结果体彩网:measuring principle. To do this, we calculate the distance between the ascending triangle’s two trendlines near their widest🦹 point and add that amount to the breakout area. In this cae, we add 3,400 to 41,300, which projects a target of 44,700.

Key Pullback Levels to Watch

During periods of weakness, investors ꧂should monitor tౠhree key levels on the Dow’s chart that could come into focus.

The first sits around 39,900, a location below the ascending triangle's lower trendline that may find support near several important 澳洲幸运5官方开奖结果体彩网:peaks and troughs that formed on the char🥀t between March and July.

The next lower level to watch lies at 39,200, an area that encounters a 澳洲幸运5官方开奖结果体彩网:confluence of support from the upward sloping 澳洲幸运5官方开奖结果体彩网:200-day moving average and a 澳洲幸运5官方开奖结果体彩网:horizontal line linking a range of comparable trading levels from February thro🅷ugh to early August.

Finally, a 澳洲幸运5官方开奖结果体彩网:breakdown below this level could see a larger decline to 37,800, an region on the chart likely to attract buying interest near a period of January 澳洲幸运5官方开奖结果体彩网:consolidation, which ♏corres💞ponds with two closely aligns troughs in April and May.

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