Dow Jones Transportation Average ($DJT)
At askSlim we use technical analysis to evaluate price charts of stocks, futures, and ETF’s. We use a combination of cycle, trend and momentum chart studies, on multiple timeframes, to present a “sum of the evidence” directional outlook in time and price.
askSlim Technical Briefing
The weekly cycle analysis suggests that the $DJT is nearing the end of a rising phase. Weekly momentum is positive.
On the upside, there are intermediate-term resistances from 8352.11 – 9500.56. On the downside, there are intermediate-term supports from 7850.87 – 7327.82. For the bulls to regain control of the intermediate-term, we would need to see a weekly close back over 9500.56.
askSlim Sum of the Evidence
The Dow Jones Transportation Average fell over 42% from peak to trough and is now likely to have an extended period of consolidation. We would expect the index to trade between the intermediate-term resistances beginning at 8352 and the intermediate-term supports beginning at 7850 through the end of June. Our analysis suggests that there is a heightened period of downside risk in July and August of this year.
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