DAX Technical Analysis for November 10, 2015
Posted by FXTimes in Featured - November 10th, 2015 7:41 am GMT
A 4H chart view has been presented here, in continuation to last weeks’ updates. It was discussed that the corrective rally which begun from 9200 levels, in early October 2015, may be coming to an end around 11,000 levels. The DAX has printed a high around 11,060 levels and reversed, producing an Evening Star candlestick pattern here. Moreover, prices are beginning to break below the support line that connects the October lows, as seen here. Looking into the wave structure on Daily chart setups, not to be seen here, prices are reversing from a fibonacci 0.618 resistance from around 11,000 levels. All the above, is enough evidence to safely assume that the next leg could be bearish, and extend well below 9200 levels. Immediate resistance is seen just above 11,100 levels while support is seen through 10, 700 levels respectively.
Remain/initiate short, stop above 11,200, target is open.