After an eight month-consolidation in 2016, 2017 is looking like it will bring strong gains.
In this one-year daily bar chart, above, we can see how DOW was consolidating mostly between $50 and $54 from April through November. In December, DOW finally moved higher with increased volume, a rising On-Balance-Volume (OBV) line and positively sloped moving averages. In recent days as prices have jumped, the Moving Average Convergence Divergence (MACD) oscillator (lower panel) has crossed with a fresh go-long signal.
In the one-year chart we noted a consolidation pattern lasting eight months, but on this weekly chart of DOW, above, we can see a much bigger consolidation going back to 2014. DOW is above the rising 40-week moving average line. The weekly OBV line has risen for three years -- bullish, and the MACD oscillator is bullish.
The upside breakout in DOW can be seen clearly on this Point and Figure chart, above. The initial upside price target from the 2014-16 consolidation is the $89 area. Let's round up to $90.