DAX Xetra (cash index)
There is a continuation of the uncertain outlook on the DAX, something which is depicted well through yesterday’s session.
Another volatile session, of 250 ticks, the candlestick shows long upper and lower shadows and a very small real body.
There is though a trend lower still intact over the past four weeks, along with medium term negative configuration on momentum indicators.
This suggests that rallies continue to be a chance to sell.
- The support at 11,310 is intact from earlier this week, however the run of lower highs is still restrictive of a recovery.
Once more this morning there is a very muted tick higher on the DAX and the move lacks conviction.
- The bulls will be looking to push above 11,567 but the hourly momentum still looks corrective and there is a sense that the sellers are still ready to pounce once more.