GER 40 Breaks Above Daily Resistance

Technical analysis of Forex market

The Dax 40 climbed higher as investors favor value stocks in telecoms, transportation, and utilities.

A break above December’s high at 15840 is a strong signal that the bulls may have had the last word. Trend followers would jump in, in anticipation of continuing above the psychological level of 16000.

The RSI’s overbought situation could prompt intraday buyers to take profit. The previous resistance 15700 (now turned support) is the first level to evaluate buying interest. 15500 is the second support in case of a deeper pullback.