Dow Inc (NYSE:DOW) stock isn’t just bouncing — it’s pivoting. After a bruising 2025 marked by a “prolonged trough” in chemicals, Dow stock has staged a sharp cyclical rebound to around $33.60, and the chart is finally telling a different story.
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Dow’s Comeback: From Trough To Golden Cross
The stock has just printed a Golden Cross — the 50-day moving average rising above the 200-day — a classic signal that selling pressure is giving way to a new uptrend.
This isn’t a meme-style pop; it looks like a base that has held, healed, and now wants higher.
Chart created using Benzinga Pro
Golden Cross = Trend Reset In DOW Stock
Technically, the setup is clean. Price is now above the 20-, 50-, and 200-day averages — textbook “bull control.”
Momentum backs it up: the RSI (relative strength index) is hovering in the low-70s, signaling strong demand, while the MACD (moving average convergence/divergence) indicator is widening to the upside.
Volume has picked up on the breakout, suggesting real institutional buying rather than short covering. The key line in the sand sits near $30, with deeper support around $25–26 near the Golden Cross zone.
Transform To Outperform: Cuts, AI, And Cash Flow
The technical move coincides with Dow’s Jan. 29 launch of “Transform to Outperform.” Management is cutting 4,500 jobs, targeting $2 billion in near-term EBITDA gains, and embedding AI across production and supply chains.
It’s a leaner, smarter Dow — built for a tougher chemicals cycle. The fourth quarter delivered a net loss, but investors cheered a narrower-than-expected hit and the aggressive restructuring plan.
Why It Matters For Investors
This looks like a stock transitioning from recovery to re-rating. If Dow can hold above $30 and keep costs falling faster than demand, the Golden Cross could be more than a chart pattern — it could be the market front-running a turnaround.
Photo: Shutterstock
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