Technical Forecast for Dax

Dax Sep13 retested August highs at 8464 & as long as this holds we have a bearish double top in place. With the market overbought in the short term & a diverging stochastic on the daily chart this is always a risk. Immediate support is 8409 /01 so any longs need stops below here for a test of 8382/74. A bounce from here looks likely today but again longs need stops below the gap at 8364. We should quickly see 8349 but there is scope for a test of good support at 8323.

 

A break higher cannot be ruled out in this bull run of course, and could target 8487 before 8530. Above here we meet this year’s high at 8561.