04, October 2016

DAX (a 4-hour chart)

General overview

European stocks were neutral on Monday as a threat of a Deutsche Bank collapse decreased. Germany stocks were closed due to "Day of German Unity" celebration.

Current situation

The index remained at last week highs due to the day off. The 200-EMA stopped the DAX further growth. The 100 and 200 EMAs provide a strong resistance for the price. The 50 and 100 Day EMAs are pointing lower, while the 200-EMA kept heading north. The resistance is seen at 10520, the support is at 10350.

The MACD and RSI indicators did not change since Friday.

Trading recommendations

 After last week sharp spike the price is expected to roll back. We expect a correction towards 10350.