The German DAX index maintained a steady rally as last week, price hit the 11600 target.
This marks the completion of the bullish flag pattern that was identified a few weeks ago. Prices briefly rose past this level before consolidating.
The current outlook shows a possible retracement on the cards.
Following the rally that sent the DAX Index to highs above 11600, watch for a lower high forming. Thus, a close below 11600 after this lower high could indicate a correction in the short term.
The downside target is near the 11200 level, where support is pending a retest. The downside bias is invalid if the DAX closes above the previous highs of 11800.
