The Dow Jones Index closed down 312.60 points, or 1.01%, at 30707.08 on September 20 (Tuesday); After the US inflation data in August showed that prices continued to rise, the possibility of a soft landing dropped significantly. Even if it is assumed that inflation may still be reduced without an appropriate recession, the economic data and the reaction it causes also greatly increase the risk of excessive interest rate hikes by the Federal Reserve. The policy interest rate may eventually be as high as 5.00%, which will lead to economic recession in any case.
Dow Jones DJ30 - 4-hour K chart shows:
The 4-hour chart shows that the low position wide range shock trend continues, market bearish sentiment emerges, MACD indicators remain in the bearish area, and RSI indicators hover below the 50 equilibrium line;
Empty turning point: 30903
Pressing position: 31049, 31187
Support position: 30685, 30554
Trading strategy: sell below 30903, target 30685, 30554
Alternative strategy: bullish above 30903, target 31049, 31187