DAX futures (March contract is FDXH7, continuation contract is FDXc1)
The consolidation has ended with a burst through resistance and the big uptrend that has been building since November continues.
A couple of neutral candles have given way to what is developing into a strong bull candle today.
I have been saying that between 11,700/11,895 the outlook is uncertain, but moving strongly through 11,895 gives the bulls the upper hand now.
This 11,895 old key level becomes supportive now for a pullback today.
Daily momentum indicators remain strong and the corrections are a chance to buy.
The hourly chart shows a strong move back through the bottom of the old uptrend channel is a positive move.
The recent consolidation resistance around 11,850 now means there is a support area 11,850/11,895 to use as a near term “buy zone” should there be a pullback from today’s initial breakout (a gap is now theoretically open around 11,830).
- The bulls are now eying the highs 12,014/12,030, whilst a breakout re-opens the resistance from the continuation chart 12,085/12,114 which is under the massive April 2015 resistance of the all time high at 12,430.