Let’s examine the Stochastic indicator. The oscillator shows the decay of the upward impulse along DAX 40. The price chart has updated the local maximum, but the Stochastic is declining. This divergence is marked with a red line.
The previously noted reversal signal is strengthened by the divergence, recorded on the RSI indicator. The appearance of divergences on various technical indicators increases the probability of a reversal scenario.
The MACD histogram is below the signal line. This indicator shows medium- and long-term trends and may ignore short-term price reversals and pullbacks sometimes.
It is recommended to focus on short positions on DAX 40. Entry points can be detected now or upon the technical confirmation after a retest of this level.
📌 Entry: 24756.97
✔️ First target: 24653.47
✔️ Second target: 24582.99
❌ Stop order: 24814.97
DAX 40 M15: There is also a downward divergence at the Stochastic after the RSI
Leave a Reply