Price Target - DJIA daily chart Thu 28-Oct-2004

The market only made a small gain +2.5 points and almost made an inside day (meaning the high and low of the day are within the high and low of yesterday's price bar). Even though it's not an inside day, it gives an excellent opportunity for a price prediction and target for this swing up. (Click on the chart to enlarge it)

Price Target for the Dow Industrial Average

The low of the last swing, where the lowest horizontal line is drawn was 9660. That was when people agreed that the market price was too low. The level of the DJIA moved up strongly on Tuesday 10/26 & Wednesday 10/27 and then today the market "took a pause" or consolidated. To me, it's a sign of indecision--will the market go higher or is this the top of the move. The type of bar we see today is indicative of both. In this case, I'll assume that it's just a pause and that the market will continue higher until it goes as far up from this mid-point-line as it did to go from the low up to the mid-point. In other words, the market will get as overbought/overpriced at the target as it was oversold/underpriced at the last low, 9660. The mid-point-line is around 9986 (I just eyeballed the midpoint of today's price bar). 9986-9660= 326 points. 326+9986= 10312 THE PRICE TARGET. I suspect that this target will be reached quickly, within the next two to three trading sessions, bringing us up to election Tuesday in the U.S. When the target is hit, I'll provide more analysis on the market's direction, depending on what prices do after that.