2008 has been quite a ride for the Dow Jones Industrail Average ($INDU). We opened the year at approx 13,260, saw the Dow move as low as 11,635 in less than a month after the first trading day of 2008, and we're now trading at around 12,750.



The current level of 12,750 in the Dow is a level that interests me. Reason being, the Dow has reacted to this level quite a few times within the past year and a half, or so. When looking at the 2 year chart of the Dow (pictured below), I note a few support touches at this level as well as several resistance touches.



The Dow recently broke through 12,750 as a resistance break. We are now seeing a pull back to the price level, which should act as resistance turned support. I'll be watching 12,750 closely, and suggest you do the same.


© Copyright 2008 by MrSwing.com