US30 – Key Supply Rejection at 41,000 | Is a Pullback ?

The Dow Jones (US30) is currently trading at 41,089, slightly below the critical supply zone between 41,000 - 41,150, as identified by LuxAlgo’s Supply & Demand Visible Range. Price is showing signs of exhaustion after testing the top of the range, hinting at a potential short-term correction.

Chart Breakdown:

Supply Zone: 41,000 – 41,150 (visible resistance from recent price reaction).

Current Price: 41,089

First Support: 40,971 – the last breakout zone.

Next Support: 39,703 – major structure break level.

Demand Zone: 38,735 – 38,000 (bullish reversal zone, high volume node).


Bearish Scenario:

A clean break below 40,971 could confirm short-term bearish momentum.

Watch for price to fill the inefficiency gap toward 39,703 and possibly test 38,735 if weakness continues.

Red arrows on chart signal likely downside zones if buyers fail to defend higher levels.


Bullish Scenario:

Reclaim and close above 41,150 on strong volume may invalidate the bearish bias and push price to new highs.


Upcoming Volatility Alert:

Key U.S. economic news is on the calendar (highlighted on chart) – could cause sharp movement in either direction. Stay alert!


Trade Idea: Look for short entries around current levels with stops above the supply zone. Target the 39,703 and 38,735 levels with proper risk management.


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Will Dow stay strong or finally give in to bearish pressure? Let me know your thoughts in the comments!

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