Technical Update - DAX/GER40 taking out March lows. Will it continue lower?
Kim Cramer Larsson
Technical Analyst, Saxo Bank
DAX Closed yesterday below March lows. The trough that was done when the Ukraine war started.
RSI broke below its short term rising trend line indicating we are likely to see lower levels.
On the weekly chart we can see that there is no strong support before around 11,556. RSI on weekly also broke below its rising trend line
The GER40 cfd/future spiked below its short term falling trend line and a few points below March trough. RSI made new lows i.e. no divergence indicating we could see lower levels. However, we should expect bottom fishers trying to buy at these levels lifting the market towards 13K and the upper falling trend line in what seems to be a falling channel. .
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