The German data was posted today in line with the expectations. The German CPI rose with 0.4%. ECB’s Weidman said today in his speech that German economic upswing is continuing this year and next.
The price of futures German DAX30 has crossed above the rejection line of a Rising Wedge and plunged back under it pretty fast. The corrective move was signaled, on the 60 minutes chart, by the 24 periods RSI which went overbought.
If the price will fall under the current support level, 9700 (which is also a round number), we expect for the down move to continue all the way to the next important support at 9612. The fall could also be confirmed by a drop in the RSI under the 62 level (which is a good support). A breakout above the 9772 high will invalidate this setup, and the upside target will be 9800.
Trigger Price: 9700 Take Profit: 9612 Stop Loss: 9742