By the Dow theory, a higher high and a higher low is confirmed for the Dow Jones thus an uptrend is still in place despite the dips recently. I believe DJIA should rebound off from it's current level technically.DJIA has tested the 200d MA and has successfully close above it for the past 2 closings. Furthermore, the formation of a doji candlestick suggest that a short-term …

Volume is an essential tool in technical analysis since in technical analysis, volume confirms price action and this was important tool for market action for the past week.For the Dow Jones, it broke the August closing support level and is now heading towards the February support level. The striking thing about the chart is that as the index action plunges down all the way, …

Dow Jones will be testing a major resistive trendline tonight and we shall see whether it can break through this trendline. This trendline has held for 3 occasions and that adds to the strength of this trendline. Candlestick theory will help to decide whether this trendline is likely to hold this time. I am watching out for a doji or an inverted hammer with long wicks this …

Dow Jones is currently supported at it's prior support level and the 61.8% fibbonacci level. Any break below this level and we will see it likely to dip all the way to the lows in Jan.Dow Jones Industrial Average:I was chatting on La Papillion's shoutbox when someone pointed out Swiber to me. A look at the chart reveals that it may be ripe for a short perhaps. We see the …

Today, a lot of technical factors suggest that a market reversal has taken place. For the Dow Jones, it appears to pierce the February support level but it formed a hammer candlestick with a very long tail. This hammer was formed with very heavy volume and this increases the probability of it being a technical indicator showing a market reversal.Dow Jones Industrial …

I took another look at the weekly chart of the Dow Jones Industrial Average today again. The weekly chart is more important den the daily chart technically. It seems to me that there is a chance that this correction may be over.Dow Jones seems to be supported on the previous resistance now. On the latest closing, it tested this previous resistance turn support level with a …

First of all, a very happy chinese new year to all of you :) But i guess the festive spirit somehow did not spread to the markets.For the Dow Jones Industrial Average, it broke out of it's rising bearish wedge formation and it closed with a shaven black candlestick with heavy volume. It is expected as it failed to broke through the resistance level that was highlighted in my …

I noted ChipEngS aka CES on the top movers section today. It closed with a white candlestick with heavy volume. As seen in the chart, CES broke the resistive trendlines today. It seems to me that this looks like a triangle formation.ChipEngS:Another counter is Lian Beng which is approaching it's historical closing level. It closed with a shaven white candlestick with it's …

Straits Times Index did not rally back to the resistive trendline that connected the previous 3 peaks or rather, it has not return back to test the resistive trendline yet. Gaps can act as technical levels of support and resistance. For the STI, it can be seen from the chart that the gap up is acting as a resistance and the gap down is acting as a support level and STI seems …

This week has been a week full of whipsaws. Whipsaws in technical analysis, in my own layman term is that price action seems to break through a crucial level but it only broke through slightly thus giving the impression that it has broken through it, only to discover in subsequent closings that it din go in the forecasted direction.This can be seen in the Straits Times Index. …