DAX Xetra (cash index)
The DAX continues to put pressure on the resistance band 12,400/12,500 as the rally from the 12,120 August low moves into its fifth day.
Although the rally has not been a straight line move, the past couple of sessions have been decisive bull candles.
This comes with the momentum indicators ticking higher on a near term basis, but essentially unwinding a medium term corrective outlook.
The question is whether this near term rally can become something more substantial, and for that the DAX needs to rally through 12,500 in the least.
Although this would still be (marginally) below the moving averages but it would be breaking through overhead supply.
Ticking higher again after a lower open suggests that the bulls are still interested in pushing on, but the hourly chart shows resistance is being met and the hourly momentum indicators are threatening to roll over.
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