DE30
Let’s start today’s analysis with a look at the German index. Looking at the daily time frame, one can see that DE30 is trading in an upward channel. However, the upward move stopped at the key resistance area at 12,930 pts which is marked with previous price reactions. If sellers manage to halt advance here, downward correction may be on the cards. In such a scenario the support at 12,260 pts could be at risk. On the other hand, breaking above the resistance at 12,930 pts will invalidate the bearish scenario and the market may launch another upward impulse with ATH at around 13,800 pts being potential target.
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DE30 D1 interval. Source: xStation5
GOLD
Gold has been trading in a sideways move with some downside recently. However, the price bounced off the key mid-term support at $1668. Looking at H4 interval, one can see that the area is marked with the lower limit of Overbalance structure as well as previous price reactions. Bouncing off the support shows that buyers remain in control. Should the current sentiment prevail, the upward move toward YTD highs may be on the cards. Breaking above the 100 - period moving average could be seen as a bullish sign.
GOLD H4 interval. Source: xStation5
US100
Last but not least, let’s take a look at the US tech index, where fresh all-time highs were reached this week. US100 completely recovered from a panic sell-off that took place in February-March period. Breaking into new ATH confirms an upward trend , especially as there aren't any bearish patterns on the chart now. Nevertheless, the risk of downward correction remains high. In case a profit taking occurs and downward correction starts, one should focus on two levels. The first key support can be found at the previous highs (9,750 pts) while the second coincides with the lower limit of Overbalance structure (9,400 pts). One should keep in mind that the index kept respecting 20-period moving average during ongoing rally therefore it also should be on watch in case of a pullback.
US100 D1 interval. Source: xStation5
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