24, June 2016

Dax (a 4-hour chart)

Dax (a 4-hour chart)

General overview

The European stock market opened with a growth on Thursday. Investors kept a positive sentiment during the long-awaited referendum in the UK. The German DAX 30 rose by 1.85% over Thursday.

Current situation

The DAX30 was positive yesterday. The index strengthened and was able to set a new high at 10332. The market is bullish. The resistance comes at 10350, the support is at 10175.

MACD is in the positive area. The histogram grew, that was a buy signal. If the histogram grows we will get a buy signal. RSI moved into the overbought area. If the oscillator remains in the area that will be a buy signal. The price is above the Moving Averages (50, 100 and 200). The Moving Averages direction is upwards.

Trading recommendations

If the positive sentiment preserves the index will grow to 10350. We do not exclude a correction back to 10250.