The trend remains down and the next levels for support would first 65.00 and then 61.00- 60.00. The rally to new highs in late April failed to move about the 60 level on the daily RSI. According to our “Range Rules”, (Bull of 80 and 40 and Bear of 60 and 20), the reversal in price was not a surprise. Dow Jones: The market has probabaly made it’s high for the year. I know it’s a bold statement, but the technical evidence of the “Range Rules” and the SMA 9 on close turning down below the value for “The #” (the center line of the bands we have on the bar chart) suggest the pathe of least resistnace will be down. Nearterm resistance should be first 10380 and then 10520. Our downside targets for now are at 9750, 9200 and then 8950.
