DAX Xetra (cash index)
Having broken decisively below several supports in recent days, the DA just continue to fall and shows little sign of stopping any time soon.
The break below 12,600 implies a retreat to 12,000 whilst the latest supports to be broken at 12,312 and 12,252 simply add to the corrective momentum.
There is a downtrend that has tracked lower over the past nine sessions which is extremely sharp (falling at over 100 ticks per day) but the market still shows little sign of breaking this trend.
Momentum is increasingly corrective the MACD lines accelerating into negative territory and the Stochastics have turned lower again.
The RSI is in the low 30s and still has downside potential in this bear leg.
The hourly chart shows the deeply negative configuration with the RSI failing for the past couple of weeks under 45, whilst the falling 21 hour moving average has become a near term gauge of resistance too (currently 12,345).
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