Dow Jones – Weekly Review
In this Weekly Dow Jones Analysis, we break down the latest signals and trends across multiple timeframes, evaluating whether recent market shifts call for a strategic adjustment. A few subtle but potentially important changes have surfaced, and they could shape the index’s next move. As the setup evolves, the coming weeks may prove more pivotal than they seem.
CANDLES
The Dow Jones showed slight weakness on the daily frame, but larger timeframes closed with strong bullish candles. All major trends remain intact to the upside. While the short-term outlook is currently bullish-neutral, the long-term view remains firmly bullish.
ELLIOTT WAVES
Long Term
(no change, just an updated chart)
I believe the Dow Jones is now positioned to follow the red path outlined in my long-term chart, last updated in December 2024. I’m keeping the original chart elements intact, as the current structure continues to align with that scenario. In this setup, wave 5 of the larger impulse could extend for a year or longer, potentially driving the Dow toward the $50,000+ level.
Road Map
The Dow Jones has better odds of pushing the price up toward the ~$45,600–46,000 range to complete wave (iii).
Inverse Head & Shoulders (IHS) & Flag
On June 24, I set the next major target for the Dow Jones at $49,600, projecting about a 15% gain from the $43,200 level. That target remains intact.
On July 16, we discussed a flag for shorter term targets – the formation plays well so far.
SUMMARY:
The Dow Jones remains primarily bullish across all smaller timeframes, with no strong reversal signals yet in sight. Long-term trends and odds continue to support a firmly bullish outlook.
As noted in the monthly review on June 1: “The Dow Jones appears to be aligning with the red path outlined in the long-term chart last updated in December 2024. If this scenario holds, the index is currently in wave 5 of a larger impulse, which could extend for a year or longer and potentially push the Dow above $50,000.” This hypothesis continues to gain traction, backed by growing technical support and strong bullish momentum.
Happy Trading!
