DAX: Furthermore in the downward trend channel

The German stock market has tried non-successfully to overcome the upper trend line of the downward trend channel.

Source: Bloomberg

Currently the DAX is trading below the mentioned trend line at 10,350. This could be the beginning of an overdue correction in the direction of the former intersection-resistance at 10,065/10,000.

A closing price on weekly basis would be necessary to continue the upward movement. But this is not the only resistance on its way North. The former upward trend line at 10,790 and the outer downward trend line at 10,870 could make some problems. Above these resistances the intermediate high at 11,435 would be the next technical target price.

German stock markets DAX on daily basis

Source: IG charts

IGA, may distribute information/research produced by its respective foreign marketing partners within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

This information/research prepared by IGA or IGA Group is intended for general circulation. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person. You should take into account your specific investment objectives, financial situation or particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. In addition to the disclaimer above, the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.

See important Research Disclaimer.