DAX: Watching the 18,200 retest for conviction
Been keeping an eye on the DAX since it pulled back from the recent highs. It found some support around the 18,000-18,050 area, but the bounce seems to be stalling a bit as it approaches 18,200. This level acted as pretty strong support on the way down, and now it looks like it's turning into resistance. If we can get a decisive close above 18,250, I'd feel a lot better about the push higher, potentially back towards 18,500. Otherwise, a rejection here could open the door for a retest of the lower bound, possibly 17,900 or even 17,800. My bullish scenario gets invalidated if we start closing below 17,950; that would signal a deeper correction.
I'm seeing a similar setup on the DAX. That 18,200-18,250 zone is definitely the key. Are you factoring in any broader sentiment from the EU economic data releases expected later this week when looking for that decisive close?