FxWirePro: Short-term sell opportunity in Dow targeting 22300

U.S. benchmark stock index, Dow Jones Industrial Average (DJIA) has been struggling to make gains despite better than expected earnings (earnings growth rate at 24 percent compared to 17 percent forecast), and a strong U.S. economy.

After topping around 26700 in January, the index has failed to make a new high. It has been trading in a small range of 1500 points over the past seven weeks and our calculations suggest that the index is very likely to suffer a further correction.

Trade idea:

Sell DJIA/US30 (CFD of DJIA) at the current rate of 24270 (US30) with a target 22300 and stop loss around 25000 area.