22 Mar
Dow Jones Declines Before Fed Rate Increase Decision.
- The Dow Jones Industrial Average fell Wednesday ahead of the Federal Reserve’s rate hike decision and Fed Chair Jerome Powell’s subsequent comments. Meanwhile, retailer GameStop (GME) soared as much as 53% on a surprise profit before trimming gains.
- The Federal Reserve’s two-day meeting concludes Wednesday. The Federal Reserve may be reluctant to raise its target interest rate as rescue attempts for several U.S. regional and community banks remain uncertain.
- As of Tuesday, markets had priced in 88% odds of a quarter-point rate hike at the conclusion of Wednesday’s Federal Reserve meeting. That would lift the Fed’s key interest rate from 4.75% to 5%. Still, Goldman Sachs economists are sticking by their prediction that the Fed will pause rate hikes “because of stress in the banking system.”
- After Wednesday’s opening bell, the Dow Jones Industrial Average fell 0.1%,
DOW JONES TECHNICAL ANALYSIS DAILY CHART:
- Dow Jones is currently trading in the down channel.
- Dow Jones is currently trading above 5&20 SMA.
- RSI is in buying zone which suggests bullishness and Stochastic suggests an up trend.
- Immediate resistance is at 32749.35 & its near support level is 32575.02
- HOW TO TRADE DOW JONES IN THIS WEEK
Dow Jones is currently trading in a downward channel and is at a resistance level; if the price rejects this level and doesn’t break it, a further downside may be possible.Â
