DAX 30: general analysis

Current trend

The leading index of the Frankfurt Stock Exchange DAX 30 has been actively declining since the opening of trading and is around 13000.0.

Index quotes are falling against the background of the collapse in shares of the German leasing company Grenke AG, which in two trading sessions fell from 56 euros per share to the current 26.70. Yesterday, the Viceroy Research agency published a study, which reported on potential financial fraud in which the company is involved. Against this background, investors fear that the investigation may reveal the facts of interaction between Grenke AG and the largest corporations in Germany.

Among the leaders of the decline are Volkswagen VZO (–2.44%), RWE (–2.12%), Continental (–2.18%), Deutsche Bank (–1.98%), and Daimler (–1.81%). There have been no companies showing growth since the opening of trading.

Support and resistance

Index quotes continue to be in a stable uptrend, forming a global Wedge pattern. The Alligator indicator is in the state of a stable buy signal, and the EMA swing range is consistently wide. The histogram of the AO oscillator is above the zero line with an upward trend.

Resistance levels: 13325.0, 13700.0.

Support levels: 12871.0, 12315.0.

Trading tips

After reversal and growth or consolidation above the local resistance at the level of 13325.0, buy positions with the target at 13700.0 and stop loss 13000.0 will be relevant.

After decline or consolidation below the local minimum at 12871.0, sell positions with the target at 12315.0 will be relevant. Stop loss is 13000.0.

Implementation period: 7 days or more.