Nearly six weeks ago, I wrote a piece on the DOW, which you may find here, in which I quoted:
“I also reiterate the two facts that stand out that may prevent price action from moving higher at this point; an open gap below and low volume that has pushed up price to recent highs. We are also nearing the end of the first quarter contract, which may bring some volatility back into the market.”
Since early March, the DOW has struggled to break above a significant Fibonacci level and with less than normal volume, it is no wonder that perhaps the 4.17.15 sell-off was just waiting to happen. What lies ahead is anyone’s guess as half will get it right, and half will get it wrong.
What can make you prepared is knowing where the TREND exists and waiting for a key entry point. The futures sit on a pivotal point here as price action is poised to go in either direction. Intraday or swing, the setup is the same.
Trading the DOW 30 or the options? Heiken Ashi combined with moving averages can keep you in a long term trend. Looking for an entry point? Keep it simple and look for the moving average crossover. Here you can see GE, a Dog of the DOW has been performing well for 2015 so far.
This video recap of the DOW 30 Stocks, ETF’s and futures, will give you an in depth analysis of where each chart is setting up for a trend move and key levels to be aware of. I look at each of the DOW 30 stocks and based on current TREND, where is the probability of direction based on its current setup.
Original Article posted here @SeeItMarket.com