Review: With the price slide from the rising trend channel on September 18, the DAX came under significant pressure via a gap down. With the price slide out of the trend channel, a bearish signal was generated, which was underlined again with the breakthrough below the 50 EMA. The DAX then continued to slide and, as expected, started at the 200 EMA in the daily chart, the area of which was reached with the low of 12,341 points on September 25. The 200 EMA is usually a solid support zone and is not easily broken by the bears. The DAX initially rebounded upwards and is currently in an upward correction in a short-term downward trend. The rise above the 50’s EMA the previous day suggests that the upward correction may extend.
Outlook: The short-term downtrend is intact in the DAX, but the index signals further upward will with the break above the 50 EMA.
The short scenarios: The DAX still rises a little above the 50 EMA and then reaches a high before the bears start a new downward movement. On the bottom, the gap in the opening price from the previous day at 12,622 points should also be closed. Then a new attack by the bears on the 200 EMA could ensue. Should a sustainable breakthrough succeed here, a further direct return to the mark of 12,000 points could be expected.
The long scenarios: The DAX can maintain the strength of the previous days and continues on course to the 13,000 point mark. If the bulls make a breakthrough here, the next target should be 13,116 points in the still open price gap.
Disclaimer: The text is a column of the UBS. 4investors is not responsible for the content of the column and therefore does not necessarily have to agree with the opinion of the 4investors editorial team. Any liability and claims are therefore expressly excluded by 4investors!
At a glance – chart and news: DAX share index