The Dow Jones futures are on track to record more than four consecutive days of gains, and traders are still willing to push the stock market higher. All of this is taking place on the back of optimism that fiscal policies and monetary policies will continue to support the bullish momentum. In addition to this, there is also optimism about the coronavirus vaccine, and investors are hoping that the worst days may be behind us. The fact is that the coronavirus situation is still deteriorating as every day we hear more coronavirus cases in the US, but with the presence of the coronavirus vaccine, things are likely to change dramatically in the coming months.
As for the technical analysis, there is no doubt that the Dow Jones price has gone too far and too fast as the price has pierced the upper level of the Bollinger band. This suggests that a healthy correction is on the cards, and the prices are likely to revert to its 20-day SMA on the daily time frame. Overall, the bulls control the price as the price is trading above the 50-day, 100-day, and 200-day SMA on the daily time frame. As long as this trend remains in place, Dow Jones is likely to continue to surprise the markets with its higher highs and lower highs.