Dow Jones Index has recovered strength as safe havens fall and the S&P 500 Index flaps in market volatility. The Dow is now at a record high. In its history, Dow has risen over 400% from its lows. This is the second time the Dow has gained over 400% from lows.
Stock markets and currency have been battered on global events. China’s slowing economy is a major concern. A possible US strike on Syria has also caused some market turmoil. Investors are looking for safe havens, especially as the S&P has dropped more than 200 points since its March top.
Many believe the Dow can go much higher given the uncertainty. Investors should not be too worried, but there is one caution. This market may be able to break above 800 in a short period. If the S&P drops lower, the Dow will be affected.
Dow Jones has gained about 40 points in a day. If it continues that pace, Dow is going to break through the 1,000 mark. The S&P is not out of the woods just yet.
Dow Jones Index (DJI) has recovered strength after China cut interest rates for the first time in seven months. This increase in market liquidity is helping the index to climb higher. It is believed this stimulus will lead to greater growth in the economy. There are other factors that could influence the market, but investors need to keep in mind they will be watching DJI closely.
Another reason the Dow Jones Index is gaining strength is the stock market in Greece. There was a recent announcement that the country’s debt problems will affect both the United States and the European Union. The Greek government has come out with a plan to improve financial condition.
This will probably cause a lot of investors to be concerned about how the situation plays out. If the EU cuts Greece out of the euro zone, the US will suffer a significant economic hit. The European Central Bank lowered interest rates to stop more damage to the market, but that may not be enough to stave off further loss.
The Dow has gained over 20% in a week, so it looks like there is no end to the rise in Dow. in sight. The market is showing some resilience in the face of global concerns, but the global outlook could turn bearish at some point in the future. If you plan to make money in the market, now would be a good time to start trading.
If you are an investor, the Dow has been recovering from the fallout of Greece. The country is facing a recession and is in danger of defaulting on its debt. If the EU moves to stop the bailout for Greece, the European economy could suffer as well. If it does, then many countries in the world will suffer as well.
If you have an idea on what the political and economic situation in Greece is like, your timing could not be better. You know what the political situation is going to be and you can make trades to take advantage of the market situation. It could help you gain a lot of money.
Another indicator that you should pay attention to is the price action in the stock market. Look at the volatility and price targets. If you see any signs of support, it means there could be a big move on the horizon. If there are indicators of resistance, that could mean the market will hold its position.
The Dow Jones Index will likely gain strength over the next few weeks. Many investors are anticipating the markets will not show much movement. Even though the S&P has dropped about 20 points over the last week, many are still bullish on the index. It may not break the double-digit level in a short period.
As the market progresses through this bull market, there will be plenty to look forward to. There is a chance the Dow Jones may stay on top for quite a while. Stock market investors will have to take a look at the political and economic situation to understand the future direction of the market.