DAX: 50 EMA still fought over – UBS column

Review: The DAX is still in an upward correction in a short-term downtrend and is currently hovering around its 50 EMA. As long as the DAX does not break through the 50 EMA at currently 12,815 points, another return to the 200 EMA in the range of currently 12,340 points can be expected. Also note the bearish candles of the two previous days, with a long shadow and almost no candle body, which indicate exhaustion after the previous price increase. Especially since these occurred directly at the 50’s EMA, which is currently acting as a resistor. On the pre-trading day, however, the DAX was trading slightly above the 50’s EMA at 12,830 points in over-the-counter trading on Thursday morning.

Outlook: There is still an open price gap at 13,116 points on the upper side. This could serve as a medium-term starting point in the event of a breakthrough above the 50 EMA.

The long scenarios: The DAX can use the sideways movement of the previous days as a springboard for a further rise and break out sustainably above the 50 EMA. In this case, a new strength signal would be generated and an increase to the round mark of 13,000 points would be likely. In addition, the above-mentioned price gap of 13,116 points would then be targeted by the cops.

The short scenarios: The DAX continues to hover around the 50 EMA, but then turns down again in the further course of the course and again moves towards the 200 EMA. If the bears manage to break through here, the situation for the DAX would deteriorate in the long term and a return to the 12,000 point mark would be likely.

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!


Related Articles

Back to top button