DAX Breaking Down, Up Fractionally YTD…..The Only Other Equity Market (to ours) Still in the Green In the Developed World
by Dan August 1, 2011 12:25 pm
This morning I identified the DAX’s performance into the close as a good “tell” for our markets…..well, not only did the German Index give back all of the gains made on the open but closed down through a massive support level and its 200 day moving average. The 4.3% intra-day peak to trough move has to be one of the largest moves, for the usually stable index, in a a very long time.
The chart below demonstrates a fairly ugly technical breakdown and could signal some ugliness to come.