Donaldson, R. Glen; Kim, Harold Y. - In: Journal of Financial and Quantitative Analysis 28 (1993) 03, pp. 313-330
This study tests the popular claim that the DJIA's movements around key reference points affect “investor sentiment” and thus price behavior. It is found that the DJIA's rise and fall is indeed restrained by “support” and “resistance” levels at multiples of 100 (e.g., 2800, 2900,...
