DAX futures (Dec 2017 contract is FDXZ7, continuation contract is FDXc1)
The bulls could not sustain the push higher yesterday as a late drop into the close saw the market post a rather negative looking candle despite the marginal gains on the day.
However there is still a mild trend higher that has formed over the past nine sessions and this continues to suggest the bulls pulling higher to put pressure on the resistance at 13,209 in due course.
Momentum indicators are in the process of reflecting this move higher, with the Stochastics now beginning to find upside traction and the MACD lines bottoming.
On the hourly chart there is a series of higher lows that help to form the uptrend now and this suggests that there is a basis of support 12,990/13,000 today.
Furthermore, the improvement in the near term outlook is such that hourly momentum indicators are showing characteristics of buying into weakness now, something that is being reflected it eh early moves today.
The hourly RSI is finding lows around 40, whilst the MACD lines are bottoming around neutral.
This ceiling needs to be broken to generate sustainable traction to the upside now.
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