Dow Jones Wave Analysis – 7 February 2025

- Dow Jones reversed from the resistance level 45000.00
- Likely to fall to support level 44000.00

Dow Jones index recently reversed down from the strong resistance level 45000.00 (which has been reversing the price from November) coinciding with the upper daily Bollinger Band

The downward reversal from the resistance level 45000.00 created the daily Japanese candlesticks reversal pattern Dark Cloud Cover after the index created Bearish Engulfing at the end of January.

Given the strength of the resistance level 45000.00 and the overbought daily Stochastic, Dow Jones index can be expected to fall to the next support level 44000.00 (low of the previous correction (2)).