(MENAFN- Daily Forex) The dow jones Industrial Average rose in its recent trading on the intraday levels, to achieve gains for the third session in a row, by 0.31%. The index earned about 104.40 points, settling at the end of trading at the level of 33,733.97, after its rise during Monday's trading by 0.76%.
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The index advanced more than 100 points in three consecutive days of gains, amid Wall Street gains over the New Year so far. This was spurred by expectations that the Federal Reserve will slow the pace of raising interest rates as inflation falls and economic indicators weaken. Investors show growing conviction that it will help Less hawkish Fed the US economy to avoid a hard landing which will support corporate earnings.
However, investors are also concerned about the possibility of a severe recession, which is why fourth-quarter earnings and forward guidance for companies can be a way to read projections about what might happen in the future.
Meanwhile, the latest flash PMI data from the US showed that business activity across manufacturing and services remained under pressure, amplifying the impact of tightening financial conditions on growth and boosting bets that the Fed will slow the pace of tightening.
Q4 corporate earnings season is in full swing so far, and investors are now looking forward to more quarterly reports from major companies during the rest of the week.Dow Jones Technical Analysis
Technically, the index is trying, in its recent trading, to get rid of the negative pressure of the simple moving average for the previous 50-day period. It was driven by the start of positive signals in the relative strength indicators, after reaching oversold areas, with its trading along a bullish sub-slope line in the short term, as shown in the figure. The attached chart is for a period of time (daily).
Therefore, we still expect more rises for the index during its upcoming trading, provided that the 32,582 support level remains intact, to target the pivotal and stubborn 34,281.36 resistance level, in preparation to attack it again.
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