Dow Jones Technical Outlook (DJ-30)

After late last week pull back the Dow Jones is finally breaking up the 13000 levels. Although there is a marked divergence between the Index and the MACD indicator, technical analysis in general may us believe that the trend up could continue. 10 and 20 day moving averages are crossing up, while all other MA's are in direction to total convergence. At the same time RSI is well above the 50 level (an indication of trend continuation) and more importantly, after last week pull back a double bottom pattern was formed and its most recent pick broken. In the short term, a triple bottom formation was followed by a rising trend that broke the most recent pick. From all technical perspectives the trend up may continue to the next resistance level of 13160 and 13700. In case of a pull back, the support levels are 13000 and 12650 levels next.