DAX Technical: Potential Bullish Reversal at 20-day MA

Published 10/06/2025, 11:53
Updated 10/06/2025, 13:00

The price actions of the Germany 30 CFD Index (a proxy of the DAX futures) have staged an intraday loss of -0.4% from the start of today’s European opening session.

Interestingly, the ongoing four-day slide of -2.17% from last Thursday, 5 June swing high of 24,491 may have hit a minor cyclical low at this time of the writing.German 30 (DAX) - 4-Hour Chart

Fig 1: Germany 30 CFD Index minor trend as of 10 June 2025 (Source: TradingView)

Preferred Trend Bias (1 to 3 days)

Bullish with key short-term pivotal support at 23,900, and a clearance above the 24,240 potential upside trigger level may see the next intermediate resistance to come in at 24,560/600 (see Fig 1).

Key Elements

Since its swing low of 23,266 printed on 23 May 2025, the price actions of the Germany 30 CFD Index have evolved into a minor bearish “Ascending Wedge” configuration.

Based on the Elliot Wave Principle perspective, the current price action behaviour of the Germany 30 CFD Index has not completed the typical 5-wave movements of an “Ascending Wedge”. So far, it has completed minor waves 1, 2, 3, and 4 sequences, and it is now in the process of shaping the potential final wave 5 upleg.

Today’s intraday decline has managed to stall at the 20-day moving average and the lower boundary of the “Ascending Wedge”.

The 4-hour Stochastic oscillator has just exited from an oversold level of 14.7, where similar past observations have led to a significant rebound in price actions of the Germany 30 CFD Index.

Alternative Trend Bias (1 to 3 days)

On the other hand, failure to hold at the 23,900 key support may trigger a minor corrective decline sequence within its medium-term uptrend phase (still above 50-day moving) to expose the next intermediate supports at 23,675, and 23,380

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