DE30: Consolidation takes no end

The German benchmark index is trading in a bullish wedge formation.

H4 chart

The DE30 quickly recovered its initial losses after reaching a new weekly low at 15,380 points this morning. In the big picture, an ABC correction in the downtrend is still in place, with the bullish wedge formation offering some hope for a trend reversal. To reverse the downward trend of recent weeks, the high at 15,740 points would have to be broken.

Source: xStation5 

H1 chart

In the hourly chart, the DE30 has been trading predominantly in a narrow range between 15,455 and 15,510 points for almost three days. The breakout attempts have all failed so far, so the consolidation seems to continue for the time being. A sustained break (at least three candles) could provide clarity and determine the direction of the next impulse.

Source: xStation5

Maximilian Wienke, CFTe
XTB Germany