DAX (a 4-hour chart)
European stocks sharply fell on Wednesday after Trump's surprise victory in the US Presidential elections.
DAX index gapped lower at the open on Wednesday. Prices fell from 10500 to 10000. The mark 10000 appeared to be a local bottom, the price turned around and rallied towards the opening prices. The index manages to fill the gap in the NY session. After reaching the level 10500 the benchmark extended its gains towards 10600. The price tested the 200-EMA struggled with the 200-EMA in the 4 hours chart during the NY session. The 50-EMA broke the 100 and 200 EMAs downwards in the same chart. All moving averages keep heading lower. The resistance is seen at 10600, the support is at 10500.
The MACD histogram grew which indicates the buyers’ strength. RSI is going upwards which confirms the strength of buyers.
Should the index recover ground and advance beyond the 10500 level, the rally can extend in the short term up to 10600.