DAX (a 4-hour chart)
European stocks opened lower as investors digested the Chinese data and European corporate earning reports.
DAX index opened bearish yesterday. The price gapped higher at the opening and filled the gap after declining back to 10600. The level 10600 appeared to be a tough nut to crack. The price rolled back in early European trades and made another attempt to break below the level lately. Sellers again failed to reclaim the 10600 level, the price bounced off the level and moved to the 10650 region. The 50 and 100 EMAs kept moving higher with the 50-EMA crossing the 200-EMA in the 4 hours chart. The 200-EMA is neutral in the mentioned timeframe. The resistance is seen at 10700, the support is at 10600.
The MACD indicator continues consolidating within overbought levels. RSI indicator is near overvalued territory, favoring a new move lower.
The near term outlook will be bullish as long as the price holds above 10500.