Dow Futures have completed wave five to the downside; what is the next move from here?
Dow Futures have bounced back at 33370 and completed wave five pullback sequences, indicating a potential change in direction could be on the horizon. However, the Index is still trading in a bearish channel and needs to break out of the downtrend to establish the next leg up.
Two scenarios could develop in next week's session.
The Index could hit the top of the channel and pull back to 33770 or 33370 to start the next sequence of five-wave patterns to the upside or pull back below 33370 and continue to the downside.
Dow Futures have bounced back at 33370 and completed wave five pullback sequences, indicating a potential change in direction could be on the horizon. However, the Index is still trading in a bearish channel and needs to break out of the downtrend to establish the next leg up.
Two scenarios could develop in next week's session.
The Index could hit the top of the channel and pull back to 33770 or 33370 to start the next sequence of five-wave patterns to the upside or pull back below 33370 and continue to the downside.
