Dow Jones is trading lower after hitting a record high of 33,257 on Monday. The index has slipped amid the heightening fear of rising interest rates. DJIA was down by 0.31% at 33,067 while S&P 500 declined by 0.32% to trade at 3,958. At the same time, Nasdaq 100 slid by 0.03% to 12,906.
On the other hand, the fear and greed index is a point higher from last session’s fear level of 44. The measure of safe haven demand has indicated investors’ greed while junk bond demand is on the extreme greed level. However, the market momentum and volatility remain neutral.
Later in the day, Dow Jones will be reacting to the US nonfarm job numbers. Experts expect a reading of 550,000; a number higher than February’s 117,000.
Dow Jones Technical Outlook
On Wednesday’s session, Dow Jones is down by 0.31% at 33,067. This is a pullback from the record high of 33,257 hit on Monday. The index is forming a double top pattern with its neckline potentially at 32,390. The double top pattern is a bearish formation. As such, it is likely for the index to drop further to the neckline, where it will find some support.
A drop further below will have the bears testing the 32,000 mark. On the flip side, the upper level of 33,257 is likely to be an important resistance level for Dow Jones. Above this point, 33,500 will be the next target.
Dow Jones Chart