Live Chat

DAX under pressure as corrective outlook forms

DAX futures (Dec 2017 contract is FDXZ7, continuation contract is FDXc1)

The bears have grasped control now as a sharp market decline has taken hold.

A second strong bear candle in the past three sessions has now broken the support of a ten week uptrend.

Although the trendline survived on a closing basis the early moves today suggest the market is accepting the new lower levels and the pressure is mounting on a correction.

This comes with a string of negative signals on momentum with the MACD lines crossing lower, the Stochastics accelerating to the downside and RSI at a nine week low.

  • Further pressure back on the breakout support around 13,089 looks likely now.
  • Yesterday’s low was at 13,102 but the negative configuration on the hourly momentum suggests rallies are noa chance to sell.
  • This is reflected in the rebound from 13,102 that has rolled over this morning at 13,215 suggesting near term resistance is back between an old range from late October at 13,190/13,250.

Another bear candle today will maintain the corrective momentum.

Ready to start trading?

Open an Account Try Demo

  • Archive

  • Topics

  • Videos