Dow Jones US30 Chart Technical Outlook corrects lower towards 38,400 on hawkish Fed
Dow Jones has printed a higher high this month but failed to stay at high ground. Prices are correcting lower on hawkish Fed comments. Markets are pricing fewer rate cuts this year (only one cut and probabilities are decreasing). Yesterday’s US Consumer Sentiment surprised higher above the forecast range. Investors will eye the second GDP estimate, Initial Jobless Claims, and the PCE data due later this week.
I expect more downside price action towards 38,400. The following barrier is 37,700. Resistances are located at 39,225 and 39,840.
