DAX Xetra (cash index)
As we come into the new year, rallies remain a chance to sell for the DAX.
Breaking the support of the early December low at 10,585 in the final days of 2018 has meant that this became a basis of resistance, something that was seen pretty much to the tick with the rally on 31st.
However, the first trading day of the year, the move has simply fallen over again and a four week downtrend is tracking the market lower, today at 10,525.
Momentum is confirming this move, with the MACD lines consistently in decline, whilst the RSI is struggling under 40 and Stochastics well set in bear territory.
The hourly chart shows momentum again rolling over with the RSI failing between 50/60, MACD lines rolling over under neutral and a sell signal on hourly Stochastics.
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