June 1, 2000.Situation bullish. The Dow Jones Industrial Average closed at 10,652.20. The Dow successfully tested the 10,260 level Friday and Monday, which is near the 20-month exponential moving average. Bouncing off that low for the third time in 2 months, the Dow ran up 392 points in three days. Surprisingly, the Dow is not overbought on any of my charts. The case for higher interest rates did not look so strong this week on the release of the latest economic reports on durable goods and housing. Maybe the consumer is tapped out on his credit, since the 37% drop in Nasdaq this spring has reduced the wealth effect spending spree consumers have enjoyed for several years. The Dow remains at the low end of its 3-month trading range of 10,200 to 11,300. The Dow is not ready to move above 11,300 yet, not until the Federal Reserve lowers interest rates, or Alan Greenspan retires, but with new investors arriving by the SUV-load every day, there is a ton of investment capital waiting on the sidelines. The statistics do reveal that the current upward move has more sustainability than the Dow's rise in May.
05-minute Dow chart support
 20-period moving average 10,614
05-period moving average 10,629
MACD 3.18/-2.50 positive
RSI 59.13 neutral
STOCHASTICS 85.95/76.99% positive
15-minute Dow chart support
 20-period moving average 10,611
05-period moving average 10,616
MACD 8.22/11.94 negative
RSI 35.78 neutral
STOCHASTICS 60.86/41.12% positive
30-minute Dow chart support
 20-period moving average 10,590
05-period moving average 10,613
MACD 33.81/39.25 negative
RSI 60.49 neutral
STOCHASTICS 63.85/66.25% negative
60-minute Dow chart support
 20-period moving average 10,561
05-period moving average 10,625
MACD 49.52/39.91 positive
RSI 70.93 neutral
STOCHASTICS 76.16/77.56% negative
Daily Dow chart support
 20-period moving average 10,601
05-period moving average 10,525
MACD -61.98/-63.71 positive
RSI 48.19 neutral
STOCHASTICS 38.55/33.86% positive
Weekly Dow chart support
 20-period moving average 10,644
05-period moving average 10,558
MACD -62.02/-46.44 negative
RSI 51.24 neutral
STOCHASTICS 49.04/49.79% negative
Monthly Dow chart support
 20-period moving average 10,252
05-period moving average 10,593
MACD 640.28/768.99 negative
RSI 57.09 neutral
STOCHASTICS 50.10/58.62% negative

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