*** EQUITY TECHS: DJIA retraces back....>

MARKET TALK: *** EQUITY TECHS: DJIA retraces back to its 200-day EMA:

- On Apr 17 we discussed the importance of the 200-day EMA and how we use it to

assess medium-term trend direction.

- Looking at the DJIA, the 200-day EMA has a negative slope. This suggests the

medium-term trend remains bearish.

- The average also highlights the fact that price has retraced to an important

resistance area - the EMA is currently at 25587.10.

- What will be key over the coming weeks is whether the uptrend since Mar 23,

stalls or whether bulls hold on and continue to push prices higher.

- A sustained recovery over the coming weeks will significantly increase the

likelihood price will retrace back to this year's high of 29568.57 on Feb 12.

- A failure at the EMA however and the start of a fresh downtrend would

highlight a broader bearish risk and likely raise bear market concerns again.

- For now it is important to note that the index has arrived at an important

crossroads!

- See chart: https://emedia.marketnews.com/marketnewsintl/dj3.jpg