The great sell failure on DJIA leading to an ATH last Friday, October 24,2025 - Fascinating!

After a largely uninterrupted bull run for exactly 2 months, the first great breakdown came on Friday, October 10th, caused by a 100% tariff announcement on Chinese imports by Trump. A big red candle breaking multiple supports and opening up the floodgates for further downside. However, the price action that unfolded over the last couple of weeks (see below) marks a great sell failure and points to continued upside.

1️⃣ As Trump publicly softened his stance over the weekend, the markets recovered right from Monday in the following week. After a gap up open on Monday, Tuesday saw a double bottom made with the Friday low. The market rallied thereafter to close strong.

2️⃣ After a small dip in the remaining part of the week, DJIA broke out of a 1-2-3 pattern on Monday, October 20.

3️⃣ DJIA flirted with the previous ATH on Tuesday before dipping for a couple of days to finally break above the pattern last Friday on October 24. With this, DJIA closed at a new ATH of 47207.

Daily chart below.

Daily chart of DJIA showing a breakout to ATH after a sell failure

The price action in Nasdaq and S&P is more or less similar to DJIA, a comprehensive sell failure that often leads to more upside. The market is acting unabashedly bullish. The bears get butchered every time. One can't do anything else but play along!

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