DAX fell below 11900 support (Fibo 38.2% of 11459/12177 rally) on Wednesday, in extension of previous day’s strong fall, when the index was down 1.34%.

Near-term studies turned into full bearish mode, while daily technicals are losing traction.

Close below 11900 handle is needed to signal further easing that may extend towards 11818 (50% retracement) and 11785 (55SMA).

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The notion is supported by overbought weekly studies and bearish divergence on weekly slow stochastic.

Broken daily Kijun-sen so far caps upside attempts at 11932, with extended upticks expected to stay below daily Tenkan-sen (12027) to keep fresh bears in play.

Res: 11932; 11980; 12027; 12098
Sup: 11878; 11818; 11785; 11733


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