Chart of the day DAX uptrend remains intact

Short-term technical outlook on Germany 30 Index (Wed, 24 Jan)

Key technical elements

Since its 17 Jan 2018 minor swing low, the Germany 30 Index (proxy for the DAX futures) has been evolving in a minor ascending channel (depicted in orange) within medium-term ascending channel (depicted in dark blue) in place since 02 Jan 2018 low.
Current price has started to consolidate above the lower boundary of the minor ascending channel now acting as a support at 13470.
The next significant short-term resistances stand 13670 (the upper boundary of minor ascending channel from 17 Jan 2018 & the 3.618 Fibonacci projection of the up move from 17 Jan 2018 low) follow by 13760/820 (Fibonacci projection cluster).
The hourly Stochastic oscillator has started to turn up right above its oversold region which suggests a revival of short-term upside momentum of price action.

Key Levels (1 to 3 days)

Intermediate support: 13530

Pivot (key support): 13470

Resistances: 13670 & 13760/820

Next support: 13400/340

Conclusion

Therefore as long as the 13470 short-term pivotal support holds, the Index is likely to resume its potential impulsive upleg to target the next resistance at 13670 and above it opens scope for a test on the 13760/820 zone.

On the other hand, a break below 13470 may negate the bullish tone to trigger a deeper corrective pull-back towards the next support at 13400/340 (the former swing high area of 08/09 Jan 2018 & medium-term ascending channel support from 02 Jan 2018 low).

Chart is from City Index Advantage TraderPro

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