DOW JONES

Dow Jones remained in red for the third day following repeated rejection at psychological 21000 barrier last week.
Fresh weakness on Wednesday was also supported by political turmoil in the US after president Trump fired his FBI chief, as well as some disappointing quarterly earnings reports which includes Dow component Walt Disney that showed quarterly revenue below expectations.
Bear-leg from last week’s peak at 21007 cracked important support at 20864 (Fibo 61.8% of 20775/21007 upleg) with today’s action being capped by broken daily Kijun-sen at 20891, which now acts as initial barrier and will keep near-term bias lower while the price stays below.
Near-term studies are in neutral/negative mode and see risk of further easing, as slow stochastic on daily chart is heading south after reversing from overbought territory.
Close below 20864 Fibo level would reinforce negative near-term sentiment and risk extension towards key near-term support at 20775 (last week’s correction low).
Firm break below here would complete double-top pattern and risk fresh bearish acceleration towards 20643 support (daily cloud top).
To sideline immediate downside risk, firm break and close above daily Tenkan-sen barrier is required.

Res: 20891; 20917; 20945; 21007
Sup: 20850; 20812; 20775; 20743