DAX40 PERF INDEX - Successfully Surpassed the Short-Term Downtrend Line and Trad - 09/07/2017 (GMT)

The German DAX 30 index surged more than 2% during yesterday’s trading period and successfully penetrated the valid descending diagonal line that was held since the end of June. Moreover, the price jumped above the bearish crossover of the 50 and 200 day SMAs and is now approaching the 12335 resistance level. It is important to refer that the index is currently recording a bullish month and is snapping the three losing previous periods.

The next strong resistance level to have in mind is the 12680 barrier, however, the price needs to go through the 100-day SMA, near 12430. In the less expected scenario, the price may slip beneath the 12195 support level and hit the 11920 obstacle. The RSI indicator is strengthening, while is pointing to the upside and entered into the 50 level. Also, the MACD oscillator is rising within the negative territory above the trigger line.