16, June 2016

Dax (a 4-hour chart)

Dax (a 4-hour chart)

General overview

On Wednesday, the European stocks opened with a growth due to the positive sentiment growth before the Fed meeting.

Current situation

The index started Wednesday with a gap upwards. The upcoming Fed meeting supported the European Bonds market. The index was able to recover to 9666 where it stopped and slightly decreased. The resistance comes at 9760, the support is at 9550.

MACD is in the negative area. Its histogram grew that is a buy signal. RSI is in the oversold area. If the line leaves the oversold area upwards we shall get a buy signal. There was a crossover on the Moving Averages. The Moving Averages are directed downward.

Trading recommendations

We expect the index to grow. Our eyes are right now at the support level 9665. Should that level break up the DAX30 will grown to 9760 – 9800.