The price reached a new local high, but the RSI indicator could not confirm this growth, remaining below the level of 70. The formed divergence signals a potential reversal and a possible price decline in the near future.
The reversal signal was also recorded previously on the Stochastic indicator. Thus, the several reversal patterns at ones are noted on the chart. It increases the probability of the formation of a reversal scenario.
The histogram of the MACD indicator remains above the signal line, indicating the local development of an upward movement. However, the indicator indications do not contradict the signal, marked on the chart.
Short positions should be prioritized to trade DAX 40. A trader can enter using the current price levels or, alternatively, it can be done after a retest of the resistance level.
📌 Entry: 24201.81
✔️ First target: 23859.72
✔️ Second target: 23633.18
❌ Stop order: 24391.36
DAX 40 H1: Divergence on RSI strengthens the previously received downward signal from Stochastic
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