DAX futures (Mar 2018 contract FDXH8, continuation contract is FDXc1)
The outlook for the DAX has become far more mixed in recent sessions as the negative candles have racked up.
However holding up above 13,125 and the old 13,200 breakout means that there is still a positive medium term outlook.
The market is trading above the moving averages with the momentum indicators still broadly positively configured.
Within this, MACD lines are coming together again in a similar way to mid-January when they bull kissed higher, whilst the RSI remains above 50.
A move back to close above 13,400 would suggest the bulls are being re-engaged and pushing higher again.
Friday’s marginally positive candle has helped to steady the ship but this move needs to continue to build positive momentum today.
The hourly chart shows the hourly RSI under 60 whilst the MACD lines are under neutral, showing there is more that needs to be done.
- Initial resistance today at 13,385 but the key near term resistance would be 13,443 which needs to be breached to turn bullish again.
- Support at 13,259 protects the higher low at 13,214.