DAX FUTURES ANALYSIS 21/08/2017
There is an ongoing negative sentiment on the DAX that has been formed over the past two months and the recent latest failure under 12,300 adds to that outlook.
Selling into strength has been a successful strategy with negatively configured momentum and any move back towards the two month downtrend (currently 12,289) is a chance to sell.
- On a near term basis, the market is testing a previous support at 12,077 and a close below would re-open the recent low at 11,926.
Momentum indicators reflect the selling into strength and the Stochastics crossing lower and around the level of the July rebound high only adds to the concern the bulls will be facing now.
The hourly chart shows the market back in the old 12,077/12,340 range but again finding resistance under the 12,200 pivot within that old range.
- Below 12,077 the support comes in at 12,043 and then 11,981.
- The strength of the resistance between 12,300/12,340 only continues to grow.