20, septiembre 2016


General overview

European stocks traded higher at the start of the new week. The stocks partly recovered due to the financial and energy shares growth.

Current situation

The overall picture remains bearish. The price remained in the short-term downward channel.
DAX gapped higher on Monday. The price was confined to the tight range between 10330 and 10370. The 50-EMA crossed the 100-EMA downwards. The 200-EMA headed north, the 50 and 100 EMAs are turning downwards. The resistance is seen at 10350, the support lies at 10175.

MACD remained at the same level which confirms the strength of sellers. RSI is approaching oversold area.

Trading recommendations

All eyes are right now at the level 10350. A move above the level will strengthen buyers which will push the price towards 10450 and further towards 10520. A break below this mark risks a decline back towards 10250.