It has been a somewhat disjointed cash open on Wall Street. The three leading indices are trading mixed through the initial hour, with the DJIA (-25), S&P 500 SPX (+16), and NASDAQ (+72) hovering near flat. Tanking Boeing stock is certainly doing the DJIA no favors, as the index is in danger of posting its third straight losing week.

On the economic news front, there have been a few metrics released this morning worthy of note. Among the leaders was a strong U.S. Retail Sales report for January. Much was made of December’s miserable -2.3% number being a precursor for the widely-anticipated broader economic slowdown. Today’s figures have shown improvement in this area and brought some optimism to the markets:

Event                                                  Actual      Previous

Retail Sales (Jan., MoM)                      0.2%          -1.6%

Retail Sales Control Group (Jan.)       1.1%          -2.3%

DJIA Weekly Technicals

The first two months of 2019 have been a welcomed sight for stock market bulls, as the Dow Jones Industrial Average (DJIA) has put in a robust rally. Now, the weekly losing streak stands at two and the current uptrend is under a significant challenge.

Here are a few levels to watch as this week unfolds:  

• Support(1): 38% Current Wave, 24511
• Support(2): Weekly SMA, 24471

Overview: In addition to these two levels, the 25000 area will drive heavy two-way participation in the related DOW E-mini futures and US30 DOW-based CFD products. If you are trading these instruments, be aware that the 25000 handle will be a hotly contested area.   

However, the key level in this market will be the 38% Current Wave Retracement (24511). This technical area is an important one ― as long as the DJIA remains above this level, then 2019’s bull market will remain valid.