- The Dow Jones uploaded another 100 points on Monday while a weak bullish impulse persists.
- The US PMI figures were firmer than expected for April, strengthening market confidence.
- The appetite for the risk of investors remains warm in general while the US continues to fight with its own commercial expectations.
The Dow Jones Industrial Average (DJIA) uploaded another 100 points on Monday, extending the recovery of current shares despite the fact that the feeling of investors continues to turn to commercial policies in constant change of the US administration of the Federal Reserve (FED) is ready to issue another decision of fees this week, and it is generally expected that those responsible for the Fed keep their focus on waiting and see. Rate markets have completely valued another pause in fees this Wednesday.
The inconsistency in commercial policy remains the only big cloud that weighs on shares markets, maintaining the bullish impulse in general warm. The US Treasury Secretary, Scott Besent, said on Monday that the Trump administration expects some type of commercial agreement of up to 17 commercial partners, far from the previous statements of the president of the USA, Donald Trump, that more than 200 countries were struggling to offer commercial agreements. President Trump’s own statements may have been a too ambitious goal, since only 195 countries are formally recognized as existing in the world.
The figures of the purchasing managers (PMI) index of the US ISM services were much stronger than expected in April, climbing to 51.6 intermensual, completely challenging the fall forecast to 50.6 from the previous 50.8. The solid increase helped strengthen the key actions of the industrial sector. However, upward profits were firmly compensated by new falls in the energy and consumer goods sectors in general.
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Dow Jones price forecast
The cautious but decided on Monday has closer the offers even more to the 200 -day exponential mobile (EMA) average about 41,600. The Dow Jones has recovered almost 9.5% since its minimum of April 21, 37,853, closing green in all but two of the last nine days of consecutive negotiation.
Despite a firm technical recovery, the DJia is still more than 8% below the maximum offers of 2025 about 45,070. In the absence of firm technical signs down, the rise impulse remains the predetermined posture, however, the technical oscillators are beginning to show warnings of overcompra conditions, which means that Dow Jones’ daily candles could be ready for a breath near key mobile averages.
Dow Jones daily graphics
Dow Jones Faqs
The Dow Jones Industrial Avenge, one of the oldest stock market indexes in the world, consists of the 30 most negotiated values in the United States. The index is weighted by the price instead of capitalization. It is calculated by adding the prices of the values that compose it and dividing them by a factor, currently 0.152. The index was founded by Charles Dow, also founder of the Wall Street Journal. In recent years it has been criticized for not being sufficiently representative, since it only follows 30 companies, unlike broader rates such as S&P 500.
There are many factors that promote the Dow Jones Industrial Average (DJIA) index. The main one is the added performance of the companies that compose it, revealed in the quarterly reports of business benefits. The American and world macroeconomic data also contribute, since they influence investor confidence. The level of interest rates, set by the Federal Reserve (FED), also influences the DJia, since it affects the cost of credit, on which many companies depend largely. Therefore, inflation can be a determining factor, as well as other parameters that influence the decisions of the Federal Reserve.
Dow’s theory is a method to identify the main trend of the stock market developed by Charles Dow. A key step is to compare the direction of the Dow Jones Industrial Avenge (DJIA) and the Dow Jones Transportation Average (DJTA) and just follow the trends in which both move in the same direction. The volume is a confirmation criterion. The theory uses elements of maximum and minimum analysis. Dow’s theory raises three phases of the trend: accumulation, when intelligent money begins to buy or sell; Public participation, when the general public joins the trend; and distribution, when intelligent money abandons the trend.
There are several ways to operate with the DJ. One of them is to use ETF that allow investors to negotiate the DJ as a single value, instead of having to buy shares of the 30 companies that compose it. An outstanding example is the SPDR Dow Jones Industrial Avenge ETF (day). Future contracts on the DJ allow the specular operators about the future value of the index and the options provide the right, but not the obligation, to buy or sell the index at a predetermined price in the future. Investment funds allow investors to buy a part of a diversified portfolio of DJ values, which provides exposure to global index.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
