Technical outlook:
Dow Jones had rallied through 27,586 levels around 09 June, 2020 before reversing lower again. The index is seen to be trading around 25,595 levels at this point in writing and is expected to resume lower. Please note that the Dow Jones had earlier dropped from 27,585 towards 24,843 by June 15, 2020. The counter trend rally since then managed to reach 26,600 levels, which is extremely close to the fibonacci 0.618 retracement of earlier drop. Ideally, the index should remain below 27,585 interim resistance going forward and continue lower below 24,000 mark in the short term. The boundary which is being worked upon is between 27,585 and 24,843 respectively. Traders should be looking to sell on rallies, with risk around 27,585 levels.
Trading plan:
Remain short, stop @ 27,600, target is below 24,000 in the short term.
Good luck!
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