DAX Xetra (cash index)
With risk appetite recovering strongly across financial markets the DAX has embarked upon a rebound, but for how long?
The early bounce in the DAX has once more seen the market back up to a resistance of the pivot around 12,000 which has limited the early exuberance.
This pivot is becoming an increasingly key level on a near term basis.
How the market treats this level in the coming hours (and maybe days) could be crucial to the near term outlook.
Clearly it is currently a resistance to the early reaction higher, and subsequently a negative one day candle formation is in process (current price is over 50 ticks below the open).
But if the recovery momentum on the hourly chart can be sustained then the bulls will be pushing back towards this pivot again.
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