Since there was no follow through to the downside, Dow Jones could carry on its momentum to test resistance levels at 24000 and 24400. Short term traders can consider to long on a pull back on the support levels by identifying support and resistance levels for short term swing trading.
A pullback and reversal around the support areas at 23650–23750 could provide a good long entry. The pullback also forms as a test of the demand bar at 2:30 am (GMT +8).
Below are the potential long setup for Dow Jones index (DJI) for trading session on 5 May 2020, with a potential reward to risk ratio of 1.5.
Entry: long limit order at 23700
Stop loss: 23500
Take profit: 24000, 24400
A pullback and reversal around the support areas at 23650–23750 could provide a good long entry. The pullback also forms as a test of the demand bar at 2:30 am (GMT +8).
Below are the potential long setup for Dow Jones index (DJI) for trading session on 5 May 2020, with a potential reward to risk ratio of 1.5.
Entry: long limit order at 23700
Stop loss: 23500
Take profit: 24000, 24400
Find Out the Top 3 Unknown Stocks Ready to Soar: Click my website below
