US indices ended higher on Thursday at the back of upbeat earnings reports and encouraging economic data. Strong retail sales reports and a notable decline in jobless claims offset the lower than estimated figures from the Phil manufacturing index and manufacturing PMI report as the Dow Index rose 0.4% to end at 26559. Mixed economic data combined with an unresolved but reportedly imminent Sino-US trade deal once again provide market participants with reasons to be cautiously optimistic. Given the Easter break holiday, US markets will be closed until Monday.
The technical outlook on the Dow is bullish to neutral as the Index extends gains to 26570 before ending at 26559. The support at 26315 managed to hold as price bounced off that level to drift higher. For the Index to surpass the high at 26570, sustained price action above the 26450 level would be required to suggest buying pressure and a move above the 26600 level would clear the path to the all time high at 26940.
Support: 26450/ 26300
Resistance: 26590/ 26680