DAX 18,000 Level - Some Thoughts
Been watching the DAX fairly closely since it broke above 18,000. It's an interesting psychological level, obviously, but what's caught my eye is the way it's been reacting around it. We saw a pretty strong rejection initially, then a bit of a grind back up. Now it feels like we're consolidating just below or right around that mark.
My current thinking is that if we get a sustained close below, say, 17,900 on a daily chart, that could indicate a failure to hold this recent strength, potentially opening up a move back towards the 17,600 area. On the flip side, a convincing break and hold above 18,100 could signal that the bulls are genuinely in control and looking to push for new highs. I'm keeping my eyes on volume during these moves; confirmation with higher volume would add weight to either scenario. The risk for my current read is if we just chop around this level without a clear directional bias for an extended period, which would invalidate the immediate setup for a bigger move and suggest more of a ranging market.