DAX finding trendline support amid grind higher
The DAX is gradually gaining ground, following on from a fall back into trendline support once more this morning.
The wider trend is clearly bullish and, as long as we do not see the price fall below the 12,852 swing low, it is likely any short-term weakness is there to be bought into.
Dow fightback falling short after wedge breakdown
The Dow Jones rebound is faltering once again this morning, with the index heading back towards Tuesday’s low of 24,628. Rising US treasury yields, coupled with a rising dollar have ensured that we are seeing underperformance in US markets, which looks likely to continue.
The ability to break below that 24,628 level would be key in solidifying the short-term bearish outlook, while a rally through 24,801 would go a long way to bringing a more bullish outlook. The wider picture is a bullish one following the rally through 24,860. However, there is a strong chance we could see the index turn lower as a retracement of the 23,531-24,994 rally.