The Dax 40 steadied as US PCE and durable goods showed a slowdown in November. On the daily chart, after the index hit June’s high of 14650 – a boundary between bearish continuation and bullish reversal, a bearish MA cross indicates souring sentiment. The sell-off below 14300 has put the bulls on the defensive. While the RSI’s oversold condition has attracted bargain hunters, they may be wary of taking big positions during a week of thin liquidity. 14150 is resistance and 13700 support from the mid-November extension.
