Learn to Evaluate Spdr Dow Jones Industrial Aver (DIA) using the Charts

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Source: Stock Traders Daily

Longer Term Trading Plans for DIA
  • Buy DIA over 308.00 target 325.70 stop loss @ 307.11 Details
  • The technical summary data tells us to buy DIA near 308.00 with an upside target of 325.70. This data also tells us to set a stop loss @ 307.11 to protect against excessive loss in case the stock begins to move against the trade. 308.00 is the first level of support below 309.97 , and by rule, any test of support is a buy signal. In this case, support 308.00 would be being tested, so a buy signal would exist.

  • Short DIA under 325.70, target 308.00, stop loss @ 326.64 Details
  • The technical summary data is suggesting a short of DIA as it gets near 325.70 with a downside target of 308.00. We should have a stop loss in place at 326.64though. 325.70 is the first level of resistance above 309.97, and by rule, any test of resistance is a short signal. In this case, if resistance 325.70 is being tested, so a short signal would exist.

Swing Trading Plans for DIA
  • Buy DIA over 315.69, target 325.70, Stop Loss @ 314.78 Details
  • If 315.69 begins to break higher, the technical summary data tells us to buy DIA just over 315.69, with an upside target of 325.70. The data also tells us to set a stop loss @ 314.78 in case the stock turns against the trade. 315.69 is the first level of resistance above 309.97, and by rule, any break above resistance is a buy signal. In this case, 315.69, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

  • Short DIA near 315.69, target 308.72, Stop Loss @ 316.6. Details
  • The technical summary data is suggesting a short of DIA if it tests 315.69 with a downside target of 308.72. We should have a stop loss in place at 316.6 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 315.69, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

Day Trading Plans for DIA
  • Buy DIA over 311.82, target 315.69, Stop Loss @ 311.09 Details
  • If 311.82 begins to break higher, the technical summary data tells us to buy DIA just over 311.82, with an upside target of 315.69. The data also tells us to set a stop loss @ 311.09 in case the stock turns against the trade. 311.82 is the first level of resistance above 309.97, and by rule, any break above resistance is a buy signal. In this case, 311.82, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

  • Short DIA near 311.82, target 308.72, Stop Loss @ 312.55. Details
  • The technical summary data is suggesting a short of DIA if it tests 311.82 with a downside target of 308.72. We should have a stop loss in place at 312.55 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 311.82, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

DIA Ratings for July 12:

Term → Near Mid Long
Rating Neutral Neutral Neutral
P1 0 0 308.00
P2 311.82 308.72 325.70
P3 316.29 315.69 342.68

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Evitar Corte monitors the FOMC for Market Crash signals:

Fundamental Charts for DIA: