DAX 30 Technical Outlook – 2011 Trend-line Last of Major Support for a While

DAX 30 Technical Highlights

  • DAX again testing big trend-line support from 2011
  • 17-month head-and-shoulders pattern to keep pressure on
  • If the 2011 trend-line breaks, short-term level of support near 10800

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

DAX again testing big trend-line support from 2011

In last week’s DAX commentary, the focus was on big resistance around the neckline of the broad head-and-shoulders pattern, and how if that couldn’t be recaptured then the 2011 trend-line was likely to come back into play.

With global equity markets continuing to sag and the leading U.S. markets also failing to rebound, it looks likely the 2011 trend-line won’t hold much longer. It’s a very important line as it is effectively the last line of major support until lows seen in 2016 in the 9300/8700-area.

Trading down to those levels won’t happen in a straight line, though. On a break of trend-line support and last month’s low at 11050 there is good support down around 10800. The area surrounding this level, give or take 50 points, was created during

Article source: https://www.dailyfx.com/forex/technical/home/analysis/ger30/2018/11/20/DAX-30-Technical-Outlook-2011-Trend-line-Last-of-Major-Support-for-a-While-PRtech.html