DAX Xetra (cash index)
A doji candle posted yesterday signals a degree of uncertainty in the market, however the recent downtrends on the DAX all remain intact.
Once more, as trade tensions between the US and China seemingly escalate, the DAX is underperforming European peers and the market has opened lower again today.
This comes as the market closed yesterday’s session around the 12,000 pivot but has once more pulled back below this level this morning.
The resistance of the sharpest downtrend (of the past two weeks) comes in at 12,090 today but a close back below 12,000 would increase the bear pressure.
Yesterday’s session low at 11,913 has just been broken but a closing breach would really suggest a retest of March low at 11,726 would be increasingly likely.
The hourly chart continues to suggest that intraday rallies continue to be seen as a chance to sell, with the hourly RSI again failing around 60 and MACD lines struggling around neutral.
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