Charting the Dow ($INDU)

This week’s chart of the one year weekly Dow falls into the same lines from last week, so this post will be short. (Also it’s Father’s Day and I should be warming up the grill now.)

The past 2 weeks shown in circle A are interesting to me since they seem to be showing a new trend line might have something to it. The line that starts at B gave nearly six weeks of support before $INDU decided to find new highs. During the min-correction, it broke that trend line twice, but in both weeks the Dow closed slightly above that line.

Once again, the 10 day moving average proved itself by providing support as the Dow touched it and moved back north. Once we see that 10 day average break support, even intraday, is when we should start to worry.