Recap Dow break above Y+1 early in the week points to the potential to tag Y+2 later. It was done with another huge gap to the upside. Closed the week above Y+2 and near week high.
Outlook A clear up trendline support is now defined from the price actions over past 2 weeks. If Dow fails to go higher early this week, a pullback to fill the gap below is very likely. The support trendline may be retest at the same time when the gap is filled.
Dow 30 May 06 to May 10 Outlook
Lawrence’s Comment
Dow break above Y+1 early in the week points to the potential to tag Y+2 later. It was done with another huge gap to the upside. Closed the week above Y+2 and near week high.
Outlook
A clear up trendline support is now defined from the price actions over past 2 weeks. If Dow fails to go higher early this week, a pullback to fill the gap below is very likely. The support trendline may be retest at the same time when the gap is filled.
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