US 30 Fails To Rebound

The Dow Jones 30 fell sharply amid fears of a new Covid variant. On the daily chart, a fall below the 30-day moving average suggests increasing pressure on the downside. The index has struggled to stay above the support at 35500, previously a resistance from last September’s high, a sign that short-term selling interest has prevailed. The sell-off is heading towards the demand zone around the psychological level of 35000 and 35100. Its breach could trigger an extended drop to 34400. 35960 is now a key resistance ahead.