Then, you would go out ASAP I presume.. In fact, it is not an hourly chart but the monthly chart of the German DAX index. When you look at the chart form a monthly perspective you see how devistating the damage of the March Corona sell-off actually is. It could very well be that just this week the bulls gave a last show for now.. Some observations:
Most significant is that in March, price dropped well below the long-term trend by down-crossing the support that is connecting the dips of the last 11 years. Now recovery we have seen up until now, but I much doubt wether we can expect more. let alone we can enter this trend again. Also we hit the 50 month's Moving average which could likly act as resistance.
The peak in Januar '18 was only slighly lower compared to the recent highs at the beginning of 2020. Just indicating that the patterns of higher tops and higher bottoms gets exhausted. Than, looking form the RSI, we see some strong negative divengence and movement of the RSI below or near the 50 line.
Expect continuation soon of the the downwards pathway towards the area of 8100 - 8300.
This week is key...
Most significant is that in March, price dropped well below the long-term trend by down-crossing the support that is connecting the dips of the last 11 years. Now recovery we have seen up until now, but I much doubt wether we can expect more. let alone we can enter this trend again. Also we hit the 50 month's Moving average which could likly act as resistance.
The peak in Januar '18 was only slighly lower compared to the recent highs at the beginning of 2020. Just indicating that the patterns of higher tops and higher bottoms gets exhausted. Than, looking form the RSI, we see some strong negative divengence and movement of the RSI below or near the 50 line.
Expect continuation soon of the the downwards pathway towards the area of 8100 - 8300.
This week is key...