Dow Jones 1H Chart Analysis –Bearish Setup from Supply Zone to T

📉 Dow Jones Industrial Average (1H) – Bearish Setup

📊 Chart Pattern:

🔷 Price is moving within a descending channel (🔻 Bearish structure)

📏 EMA (70) = 42,217.4 → acting as dynamic resistance 🧲

📦 Supply Zone (Resistance)

📍 Located between 42,054.3 – 42,086.7

🟦 Zone where sellers dominate → Price rejected this zone ❌

📎 Confluence: Close to the upper channel line + EMA resistance

🟠 Trade Plan (Short Position)

🔹 Entry Point:
📍 42,086.7
🔽 Enter when price rejects the supply zone

🔺 Stop Loss:
📍 42,328.0
🛑 Above the supply zone & trendline = safe buffer

🎯 Target Point:
📍 41,150.0
✅ Near lower channel boundary = logical support zone

📐 Risk to Reward Ratio (RRR)

⚠️ Risk: ~241 points

💰 Reward: ~936 points

🔁 RRR: ~1 : 3.9 🚀

📌 Trend Confirmation

🔻 Lower Highs & Lower Lows ➝ classic downtrend

🧲 EMA above price ➝ down pressure

🔄 Multiple rejections at upper trendline ➝ trend intact

⚠️ Watch Out For

📅 Economic News (e.g., Fed announcements, inflation reports) could break the pattern 🚨

❗ If price closes above supply zone + channel → reconsider short entry

✅ Summary

📉 Bearish bias confirmed

🎯 Target: 41,150.0
📏 Use stop-loss & trade management 🔐
🔥 Strong RRR – worth monitoring!