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Dow Outlook - Oil Drop Could Trigger Break Below Rising Trend Line

Dow30 daily chart

Resistance - 18,084, 18,167, 18,351

Support - 17,915, 17,870 (hourly rising trend line), 17,740

Losses in oil at both the sides of the Atlantic and weak sentiment in European indices could push Dow 30 index below hourly rising trend line support of 17,870. A violation on hourly closing basis would expose 17,740 (hourly 200-MA).

On the higher side, a rebound from rising trend line support followed by day end closing above prevoous day's high of 18,016 could yield rally to 18,167 (Apr 20 high).

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.