After holding the trade for 9 hours, yesterday’s plan has exited in profit:

https://www.finlogix.com/analysis/20240401/dj30-intraday-analysis-and-trading-plan-for-april-1-2024

Yesterday’s ISM Manufacturing PMI date came out higher than expected resulting in a pump on the US dollar.

8 more to go and markets remained in volatile sessions as we head into the mid-week.

Re-assessing DJ30’s high timeframe candles:

Yearly Candle: Still a Green Body since last check but with Equal Head and Tail Wicks

Monthly Candle: Last check is a Green Shaven Bottom now a Red Body with a Longer Head Wick

Weekly Candle: Last check is a Green Shaven Bottom now a Red Body with a Longer Head Wick

Daily Candle: Yesterday’s close is a Big Red Body with a Longer Head Wick current is developing a Small Red Hammer

As mentioned yesterday, there goes the start of a pullback threat!

Still bullish on the long term, yes, but the strong moving up might end suggesting a new range consolidation is coming.

We can see a nasty big bearish candle with good buy side liquidity pick up!

Zooming out on the 15-minute chart, there’s a failure in sustaining the price above 40000 level.

Meanwhile, in the daily chart, intraday low has held above the 39500 mark now allowing a re-test at least on yesterday’s low which can further slide the price lower when these support levels break down.

Since I’m successful in targeting the 4H 50-SMA for some take profit, this moving average has rejected supporting the price upon its re-test after the initial touching yesterday.

The price is currently consolidating in a steep pattern with more threats to the downside.

From here we can also have 2 successive bearish FVGs which I’ve drawn above.

I think when the index buyers try to recover, there will be another big drop towards the longer 4H 200-SMA.

Based on these calculations, I will short again when price attempts to retrace the lower 4H FVG.

In case the lower 4H FVG is disrespected, I will set a stop loss a little higher above intraday high.

This lines up my idea that the 4H 50-SMA becomes a support on the next attempt nullifying the odds of a further sliding down.

However, if right, I’m taking profit on the 4H 200-SMA which the 39000 mid term support awaits.

DJ30 Intraday Analysis and Trading Plan For April 2, 2024

Apr 02 2024

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