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Dow Jones Industrials Index Cash
By Martin Armstrong

* February 4, 2017

Analysis for the Week of February 6, 2017

As of the close of Fri. Feb. 3, 2017, the market is immediately in a bullish posture near-term suggesting it is quite strong trading above the December 2016 high for we are currently in an outside reversal to the downside. Dow Jones Industrials closed today at 2007146 and is trading up about 1.56% for the year from last year's closing of 1976260. So far, we have been trading up for the past 3 days since the reaction low made on Tue. Jan. 31, 2017.

On the weekly level, the last important high was established the week of January 23rd at 2012558, which was up 12 weeks from the low made back during the week of October 31st. We have been generally trading down for the past week from the high of the week of January 23rd, which has been a move of 1.69% percent in a stark panic type decline. The broader perspective, this current rally into the week of January 23rd has exceeded the previous high of 1844988 made back during the week of September 19th. We have seen a rally so far from the last low at 1788356 made the week of October 31st, and only a break of that low would signal a technical reversal of fortune. Otherwise, the market remains strong at this time. Right now, the market is above momentum on our weekly models hinting this is still bullish for now as well as trend, long-term trend, and cyclical strength. From a wider viewpoint, this market has been trading down for the past 19 weeks overall. Interestingly, the Dow Jones Industrials has been in a bullish phase for the past 12 months since the low established back in January 2016.

Critical support still underlies this market at 1739916 and a break of that level on a monthly closing basis would warn of a decline ahead becomes possible. Currently, this market remains in an uptrend posture on all our indicators looking at the weekly level. We see here the trend has been moving up for the past 13 weeks. The last weekly level low was 1788356, which formed during the week of October 31st, 2016. The last high on the weekly level was 2012558, which was created during the week of January 23rd. On a broader perspective, this market remains in an uptrend posture on all our indicators looking at the monthly level. We see here the trend has been moving up for the past 17 months. The last monthly level low was 1537033, which formed during August 2015, 2015. The last high on the monthly level was 2012558, which was created during January. We see that the trend should change come this month so pay attention to events ahead.

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