DAX Xetra (cash index)
In the wake of renewed buying pressure yesterday, the DAX remains on the brink of a bullish medium term upside breakout.
Resistance at 12,460 of the key March high is coming under growing pressure as the recovery continues to build on the series of higher lows of the past couple of weeks.
The opening gap has already now been filled and although pulling back from an initial break of less than a handful of ticks, the bulls will be looking to post a closing breakout to put pressure on the big resistance at 12,600.
Momentum indicators on the daily chart continue to make headway in a recovery with the RSI, Stochastics and MACD lines rising at two month highs.
On the hourly chart there is a positive configuration across momentum indicators and weakness continues to be bought into.
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