Current Outlook: Bullish, but threatening a major pullback

Resistance: 10009 10016 10033 10066 10086

Support: 9955 9926 9868 9830
Dax Afternoon Market Summary

Is this the start of a reversal?

Mario Draghi has already quelled the initial expectation of further QE this year suggesting that early Q1 will see some decisions being made. There are some interesting developments on the docket regarding China, one of the main trade partners for Germany. Large volume spikes across the markets.

EURUSD and USDJPY have experienced large moves over the last few days and the movements are closely linked to the Dax. We have been calling for a larger correction for a while, various factors are now beginning to align to suggest a further move down.

Price is currently stalling around 9795 and a wedge pattern is forming in the lower time frames with 9795 as the base. I wouldn’t be surprised if we close slightly closer to the current wvap around 9870

Dax Technical Analysis