DAX futures (JUNE 2017 contract is FDXM7, continuation contract is FDXc1)
The run higher on the DAX (and outperformance) continues.
Another opening move higher today continues to push futures ever close to the all-time highs at 12,430 (from the continuation chart back in April 2015).
The run of solidly bull candles have now taken momentum indicators into strong territory, with the RSI above 70 today.
However consider that RSI was above 70 for five weeks around the turn of the year, this would suggest that momentum can remain strong for a continued run.
Perhaps the hourly chart shows momentum is a little stretched and a consolidation (or even brief dip) could be seen today or tomorrow.
A retracement to 60 on the hourly RSI seems to be a decent buying level now.
- Support is 12,338 and then between 12,240/12,289, whilst the range of breakout supports between 12,130/12,210 are now key for the near to medium term.
- Resistance is today’s initial high at 12,411 before the all time high at 12,430.