The Dow Jones Industrial Average (DJIA) recently broke through resistances that had held the index in a sideways zone for nearly 6 months, from May 2013 to November 2013. As predicted, on the break of resistance at 15655, the index has renewed its previous trend & is now at 16500.

The old support & resistance points/zones are marked in the chart above, you can click on the following link to read the older post on the DJIA - http://www.marketlok.com/4/post/2013/10/djia-index-the-government-shutdown-blues.html

Lookin at the present, as mentioned earlier the DJIA has renewed it's previous up-trend & has already moved up over 900 points. The index is holding support levels very well as of now & has shown very large momentum. This is expected as the 6 month sideways zone on the index has acted as a propulsion zone.

Supports for the index are at 16196, 15704, 15530 & 15396. The support levels at 16916 & 15704 are strong, some price action around these price pints will not do any damage to the index in the medium to long term. The support levels at 15530 & 15396 form a support zone, which is very strong & hence important. Any breach of this zone will end the prospects of the up-move continuing & might push the index into a sideways zone or even into a down trend, which looks very unlikely as of now. Resistance will be seen at 16690, 16958.5 & 17300. These are also the next immediate targets for the index.

The index has surpassed all performance expectations so far. The sideways zone from May to November 2013 has only made the trend stronger. The DJIA is still very bullish & will remain bullish as long as it holds important support levels, which are - 15530-15386 as of now.

XEROX (XRX) started it's up-move in January 2013 at the breach of an important pivot at 7.5. The stock is now at 10.7, with a recent high at 11.15. Returns amount to over 40% from the entry price mentioned previously. Life-time high for the stock is around 64 which was formed way back in 1999.

A general question asked is will this up move take the stock up to it's life-time highs? That's a question better answered with smaller targets & by carefully watching the stock for important pivots over the long term. As of now the stock has taken a break from the up-move, the indication of the break came at the end of August 2013 as market on the chart. Since then we've so far seen sideways action in the stock for 3 to 4 months & more recently some volatile price action too. The original indication for this sideways zone came at the break of $9.82, now the price point has moved slightly to 9.95. This will be an important support that the stock will have to remain above in order to stabilize and continue the up-move. Further supports for the stock are at 9.64, 8.27 & 8.11. The support at 9.64 is strong for the stock & breaking this will put the future of the stock in jeopardy but that does not mean that the stock will turn bearish but it might end up being sideways to volatile for a long while. But below this the support zone at 8.27 to 8.11 is very critical & breaching this will mean that the stock will enter a bear market.

The stock is showing strong resistance at 11.15 which is also the recent high for the stock. Resistance above this price level will be seen at 12.1 & 20.35.

So far the stock is taking a break from it's recent up-move & has turned a little volatile recently but it does not seem to be weakening yet. Forming a strong base here might result in a continued up trend in the stock in the near future. 9.64 will be a critical support level to watch for in the stock at present.

After bottoming out in 2012 & rallying for over a year Electronic Arts (EA) has recently seen a 25% dip from it's recent top. In the past EA went through two rallies, the first ended with a life-time high at around 70 followed by a 6 year bear market on the stock which ended in 2011. The second rally began & ended in the same year 2011, this was a very reluctant up-move which ended with very little returns. Now the recent up-move which began around September 2012 is not so reluctant. So far it has been smooth & strong, with frequent consolidation action with strong continuation patterns.

The stock has so far shown cash returns of around 100% i.e. from $14 to a high of $28. The consolidation that's happening right now is a little larger than the recent few, as the up-move has also been larger than the last few up-swings. Supports for EA are seen at 23.9/23.5 & below that at 20/19.5. The support zone from 23.9-23.5 should hold until the end of October in-order to be a significant support level, else the stock might break right through that. But if the support zone holds, also on a price movement basis, then this price level will be very important to watch. The lower support zone from 20-19.5 is the strongest lower support for the stock & the stock will have to hold this in the medium-term in-order to stay bullish in the long run.

The stock is seeing some resistance at 27.5, crossing which in the short to medium term will push the stock above it's recent high of 28, hence gaining further higher targets & heading for better returns of the long-term.

Rockwell Collins (COL) bottomed out in July 2012 and has considerably moved up since then with over 60% & returns in just over 1 year. The stock in all of it's previous bull rally's has shown very clean patterns & had moved up with very little surprises & this time it's no different.

The stock is still looking very strong & holding pivots well, despite a run-up of over 60%. Support levels for the stock are at 70, 67.5, 65.75 & 61. The support levels at 70 & 67.5 are minor supports & they would be useful for swing traders or day traders whereas the support level at 65.75 is a major pivot. Breaching 65.75 would place the stock is an extremely unsure zone with a lower support at 61. Below 65.75 the stock could be sideways to volatile for a while. But as of now 61 is the most important support to look at and at the breach of 61 the stock will turn bearish & end the present up-trend.

Moving up-wards the resistance level of the stock is at 72.6 immediately, which might be a minor resistance & we do see the stock moving above this in the short term. Above 72.6, we see the stock hitting targets of 80, 85, 90 & 100 dollars, these target levels will also act as resistance levels where the stock might see some short to medium term sideways action.

Rockwell Collins (COL) is technically very stable & has so far given very good returns. We see the stock moving up from here to much higher levels as long as the bullish structure of the stock holds well & so far it has.