DAX 30 Technical Outlook – Upside Not Without its Obstacles

DAX 30 Technical Highlights

  • DAX has confluence of trend-lines as resistance
  • Global appetite for stocks supportive
  • 12100 may again be important on weakness

See what has been driving the DAX Euro in the Quarterly Report.

DAX has confluence of trend-lines as resistance

Last week when we last looked at the DAX it was working on breaking through resistance around the 12100 mark, but now faces perhaps an even bigger challenge. The trend-lines running up from the Feb 2016 low (end of last major correction) and off the June high are in confluence, presenting a problematic hurdle to overcome.

So far, we aren’t seeing a sharp decline off Friday’s touch of resistance, but should momentum pick up it could end up as more than just a pullback, and yet another leg lower in the sequence of lower lows and lower highs since the summer.

However, global trends remain supportive for stocks, with the world’s largest stock market (U.S.) hanging out in record territory, the Nikkei having posted strong gains the past couple of weeks, and even the FTSE, which had been so weak, is showing a fair

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