DAX 30 & FTSE 100 Wedge Breaks Look Imminent, Catalyst Required
2021-06-11 16:30:00
Peter Hanks,
Strategist
DAX 30 & FTSE 100 Price Outlook:
The DAX 30 runs the risk of becoming rangebound if a bearish break is posted
The FTSE 100 has established a longer-term rising wedge dating back to January
DAX 30 & FTSE 100 Wedge Breaks Look Imminent, Catalyst Required
The DAX 30 and FTSE 100 have worked themselves into similar technical patterns over the last few weeks as both indices find themselves near the lower-bound of a rising wedge formation. Rising wedge patterns are generally viewed as bearish technical formations and, if the textbook example occurs, conclude by a breakout to the downside through the lower bound. Thus, the presence of such a formation on the European indices could suggest potential declines in the days ahead.