Dow 30 Aug 27 to Aug 31 Outlook

Recap
Bearish scenario unfolded and almost tagged our B-2 target. The end of week news shock from euro zone forced a reversal on Friday. Closed the week at midpoint near Y-0.

Outlook
My read on Dow testing an important price zone was correct. This first reaction (selloff) gave us a good sense of how weak this rally actually is.

Even if we see a continuation rally from here, I will be very cautious on the long side.

Early next week as long as 13200 acts as resistance, a retest of B-1 is likely.