DAX (a 4-hour chart)
European stocks edged higher on Friday amid a weaker euro and strong corporate earning reports.
The DAX index traded bearish on Friday. The prices stayed above the level 10700 during the European trades. However, the index gets under selling pressure on any up-move from the level. DAX moved below the level ahead of the
MACD decreased which indicates the buyers’ positions weakening. RSI remained within positive area.
In order to take a good position we will wait for prices to break below 10700. A solid consolidation below the level will indicate a growing strength of sellers. In this potential scenario the price will drop to 10600.