DAX futures (JUNE 2017 contract is FDXM7, continuation contract is FDXc1)
The DAX has opened lower and looks near term corrective but is likely to end up being another chance to buy.
Playing catch up after yesterday’s Whit Monday public holiday, the DAX was going to be under pressure in the early moves.
- The initial support at 12,790 has been breached at the open with a downside gap and this now opens the next support at 12,709.
Support at 12,709 has been a pivot over the past few weeks and given the mildly corrective slant on trading there could now be a minor pullback once more.
However, although the market has rolled over near term, the outlook remains technically positive and now outlook for the DAX remains in place and any correction would be a chance to buy.
- The support band 12,666/12,709 would be a prime buy zone now for the bulls.
- There is resistance now building between 12,868/12,880 but this is likely to come back under pressure once the initial corrective move has settled.