DAX futures (Dec 2017 contract is FDXZ7, continuation contract is FDXc1)
Is the rally within the range once more going to disappoint the bulls?
The frustrating run of trading on DAX futures seems set to continue as the market again seems to be struggling as it approaches the 13,200/13,245 area.
In the last three sessions the market has turned back within 5 ticks of 13,190 and today’s opening gap lower does not bode especially well for a breakout once more.
The daily momentum indicators which had been on an improving run are beginning to tail off again and there is a slight negative bias that is forming on the hourly chart now as the rally falls over.
Now breaching a pivot support around 13,100 early today suggests the sellers are gaining momentum.
The hourly RSI shows that the market is at best neutral but if the early rebound again fails around 50/60 and the MACD lines struggle around neutral then the pressure could begin to build lower.
Support of yesterday’s low at 13,069 will take on an extra importance and a close below would certainly signal developing downside once more within the range.
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