DAX 30 Technical Analysis – Bounce Set to End Soon

DAX 30 Technical Highlights

  • DAX bouncing off important long-term 2011 trend-line
  • Resistance ahead should soon put a cap on further strength
  • Long-term trend support may hold in near-term, but eventually break

For the intermediate-term fundamental and technical outlook for the DAX Euro, check out the Q4 Trading Forecasts.

DAX bounce isn’t viewed as likely to last much longer

The DAX has for now successfully held the long-term trend-line dating back to 2011, and while it is lifting modestly, strength is at odds with general trend and tone considerations. Not far ahead is a small trend-line to contend with crossing over recent peaks created at the neckline of the long-term head-and-shoulders pattern.

Even if that line is breached the neckline of the HS formation is just beyond and is likely to be staunch resistance for a market that is on its heels. On a touch of either form of resistance, a shove back lower should give shorts the upper-hand again in the near-term or longer.

A push lower from either current levels or the aforementioned resistance will once again have the 2011 trend-line back in play. It is a sort

Article source: https://www.dailyfx.com/forex/technical/home/analysis/ger30/2018/11/28/-DAX-30-Technical-Analysis-Bounce-Set-to-End-Soon-PRtech.html