- The MACD is significantly below its signal line which suggests that the existing bearish sentiment is beginning to swing around toward a more bullish outlook.
- Upper Bollinger Band® currently at 14,800
Keeping up its 4 days of climbing (+134.85 points), The DAX pointed in the same direction Friday: the DAX rose 29.39 points to close at 14,529 Friday which makes for a move of 0.27%.
The index has been trending positively for about a month. After hitting an important low of 15.42 approximately 2 months ago, the DAX has bounced back 93,871% since.
With regards to technical trend indicators, chart analysis show that the MACD is significantly below its signal line, which suggests the market is running out of bearish momentum and could revert to a positive outlook as bulls regain control. Momentum evaluation shows that the Relative Strength Index indicates the DAX is currently 'overbought' which suggests new gains will be harder to obtain. Analysis based on the asset volatility indicates that Bollinger Band® analysis indicates that current price action is approaching the upper band at 14,800, thereby suggesting that the DAX is becoming overvalued.
Overall, while the DAX has been on an uptrend, technical indicators suggest that it has no obvious direction for the immediate future.
At the same time, KOSPI Composite Index dips 1.84% Friday and closed at 2,480. Nikkei is down to 27,778, losing 448.18 points, after ending the previous session around 28,226. ASX 200 withdraws 0.72% Friday and closed at 7,354.4.
Upcoming fundamentals: Euro Zone ECB President Lagarde speech is scheduled tomorrow at 01:45 UTC.