German DAX due for a retracement

0 1,040

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.

Got your risk management sorted? Open your account now!


or practice on DEMO ACCOUNT

Trading CFDs Involves high risk of loss

Leave A Reply

Your email address will not be published.