Dow - bullish, but potential consolidation intraday

Dow intraday: Bullish but potential consolidation intraday. The Dow printed fresh highs on Friday, but currently trades below its daily pivot, and could consolidate further in case of a break below Friday’s low at 29250.

Intraday support: 29250 (Friday’s low) 29090 (weekly pivot), and 29015
Intraday Resistance: 29300 (daily pivot), 29367 (ATH), 29500

An extension of the October/November move would lead us to about 29800 , however the Dow jones rose at an annualized return of 50% over the past 3 months, which is not sustainable over the long-run. Daily RSI is slowing, but there are no sell signal for the moment.


Wall Street: Retail trader data shows 22.85% of traders are net-long with the ratio of traders short to long at 3.38 to 1. The number of traders net-long is 7.71% higher than yesterday and 5.92% lower from last week, while the number of traders net-short is 1.09% higher than yesterday and 14.76% higher from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests Wall Street prices may continue to rise. Positioning is less net-short than yesterday but more net-short from last week. The combination of current sentiment and recent changes gives us a further mixed Wall Street trading bias.