The DAX 40 maintains an upward direction of movement, while Stochastic has fallen below 20. The formed reverse divergence is marked on the chart with a green line.
The RSI has dropped below 30. This is a signal that a downward movement is prevailing, but the indicator very rarely stays below 30 for a long time. Often after this there is a correction or a price reversal.
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.
The DAX 40 trade is better situated towards opening a long position strategy. Possible entry points include both current prices and retest levels of the designated resistance line.
📌 Entry: 24215.73
✔️ First target: 24452.37
✔️ Second target: 24585.44
❌ Stop order: 24097.16
DAX 40 M15: Divergence signal is received from the Stochastic
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