The German benchmark index can make up some of yesterday's losses on Thursday.
M30 chart
The DE30 is testing yesterday's midday high at 15,630 points after the index started higher in cash trading today and extended gains in the morning. On Wednesday, the price bounced off the 50% Fibonacci retracement of this week's upward movement. The above mentioned resistance represents the beginning of the last downward impulse, so a breakout is needed to initiate a new trend structure.
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Source: xStation5
H4 chart
Buyers used yesterday's setback, similar to last Monday or also in May, for a favorable entry (see chart) to bet on a trend continuation. But as long as the DE30 is trading between the EMA100 and EMA200, the short-term picture is not yet in favor of the bulls. Traders should now watch for the reaction at the moving averages. Which direction will the market choose?
Source: xStation5
Maximilian Wienke, CTFe
XTB Germany
