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Market Update: US30 remains held at resistance

July 26, 2021
by Joseph Jeffriess, Market Analyst

Hi traders, welcome to a new week. Today we’re looking at the daily US30 chart as price, for now, continues to be held at resistance.

After four days of gains, sellers hold control at this stage in today’s session. Last week, we watched as sellers looked to be taking control two days of heavy losses started for a moment to suggest that maybe this trend was possibly seeing a new test. This was very short-lived, as buyers came back into the market lifting it back above the 35,000 level.

This is the level we’re focused on in today’s report. As you can see below, this area around 35,000 – 35,090 continues to show solid resistance from sellers to buyers. So far, six attempts from buyers have been knocked back by sellers around this area. This is the main resistance and is the roadblock holding buyers back from continuing the current trend. Price has formed a rough range over the mid/longer-term and could start to be seen as distribution. While main resistance remains in play we see a continuing stalemate.

Daily US30 Chart

US data is thick and heavy this week with CB Consumer confidence due early tomorrow morning, FOMC meeting Thursday morning, and the core PCE price index due Friday. The FOMC could be the big one, the Feds statement the main meat there. Is inflation still seen as temporary? Will we get a firm answer on any tapering? With delta jumping in the US will that mean current policy continues? These could be important factors if we see the US30 take the next step in continuing higher.

All times are AEDT.