DAX Technical Analysis for November 16, 2015
Posted by FXTimes in Featured - November 16th, 2015 7:09 am GMT
The 4H chart view presented here has been following the bearish view discussed on November 06, 2015. The DAX broke below its medium term trend line support, hit resistance at the back side around 10,980 levels and has now made lows around 10,604 levels, before pulling back higher last Friday. Please note that support around 10,680 level has been taken out and a pullback can be expected before prices drop towards 10,500 levels and even lower. Resistance is seen around 10,800/50 levels from here, followed by 10,900 and higher, while support is seen at 10,500 levels respectively. Intraday rallies are expected to remain capped below 10,900 levels for now and selling rallies should remain the trade strategy for now. Please note that RSI is soon approaching the 30 level mark and hence taking small profits at each interim low is favourable.
Take maximum profit on short positions earlier and look to seen rallies. stop at 11,030 levels target 10,500.