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11:42 AM · 19 August 2021

DE30 suffers new setback

The German benchmark index loses ground in the short term on Thursday as the Fed prepares for tapering.

D1 chart

The DE30 managed to stop today's decline at the 50-day moving average, similar to late July and early August. The area also coincides with the 38.2% Fibonacci retracement of the upward impulse that began with the July low. The bearish hammer candle formed on Wednesday had already suggested more selling pressure. 

Source: xStation5

M30 chart

The lower time frame shows that the DE30 had fallen around 270 points (-1.7%) after breaking out of this week's sideways range (purple rectangle). The two rebounds of the above mentioned retracement (see circle) could indicate that the price is stabilizing. The 38.2% retracement and the local high (15,719 points) now determine the short-term trading range. 

Source: xStation5

Maximilian Wienke, CFTe
XTB Germany
 

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