DAX futures (Mar 2018 contract FDXH8, continuation contract is FDXc1)
Volatility remains significant on the DAX as yesterday’s huge sell-off with renewed fear in global equities meant that the futures pulled back towards the lows again.
However this morning there is a degree of support coming in again, with Tuesday’s key low at 12,070 still intact.
The market has rebounded by around 60 ticks today but the question is whether this rebound will once more be sold into.
That appears to still be the most likely scenario playing out.
On a technical basis the momentum indicators are somewhat negatively configured on both the daily and hourly chart too.
The hourly chart shows the hourly RSI failing around 60 and MACD lines failing around neutral.
This is classic sell into strength configuration.
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