Wall Street edged lower with the Dow Jones Industrial Average shedding 111 points to close at 19,833.68. The Nasdaq Composite lost 48 points and closed at 5,438.56, while the S&P ended 0.84% lower at 2,249.92. Stocks started the day with a positive tone, but losses in the tech sector dragged US majors' benchmarks lower. Also, sentiment among stocks' traders deteriorated after the Dow failed to reach the 20,000 level, with only one component closing in the green, Travelers Cos., up by 0.08%. Caterpillar on the other hand, was the worst performer, down by 1.48%. Profit taking may have also had something to do with the sharp intraday decline ahead of the year-end. From a technical point of view, the daily chart shows that the index is still above a bullish 20 DMA, currently at 19,781, while the Momentum indicator heads lower and is about to cross its 100 level towards the downside, and the RSI indicator finally retreated from overbought territory, having been above 70 since early November. In the 4 hours chart, technical indicators head sharply lower within bearish territory, whilst the index moved below a horizontal 20 SMA, supporting some further declines on a break below the mentioned support.
Support levels: 19,781 19,740 19,688
Resistance levels: 19,856 19,931 19,978