DAX meets well known intersection-resistance

Currently the technical situation of the German stock market is a very interesting one.

Source: Bloomberg

The DAX reached the intersection-resistance at 10,000/10,065 on daily basis. The mentioned resistance consists of the psychological price level at 10,000, the falling weighted 200 days moving average (WMA) at 10,048 and finally the Fibonacci retracement at 10,065 (61.8 per cent).

To continue the current countermovement a closing price above the intersection-resistance would be necessary. The technical target price would be the upper trend line of the downward trend channel at 10,170.

The last try to overcome the mentioned resistances at the end of March was unsuccessful. Such a scenario could be repeated. In this case the Fibonacci retracement at 9741 and then the lower trend line of the downward trend channel at 9120 would be the next targets.

German stock market DAX on daily basis

Source: IG charts

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