DAX (a 4-hour chart)
European stocks were under pressure as traders digested the latest Yellen’s comments about possible rate hike by the Fed.
The index was neutral and stayed close to the 10520 level on Monday. The price traded in a narrow side channel limited by the levels 10468 and 10560. The resistance is seen at 10520, the support lies at 10350.
MACD decreased which confirms the strength of sellers. RSI is neutral.
The 4 hours chart shows that the price is sandwiched between the 50 and 100 EMAs. The 50-EMA is turning downwards, the 100 and 200 Day EMAs are still moving upwards. The moving averages still generate a buy signal.
The level 10520 stays between the price and its further decrease. Shall the index break the level and the road towards 10350 will be opened.