Iron Forex: DAX futures traded higher during the European morning Wednesday after hitting support slightly above the 9800 (S1) support zone on Tuesday.
Bearing in mind that the index is still trading above the uptrend line taken from the low of the 11th of February, I would consider the short-term outlook to be cautiously positive.
However, I would like to see a clear move above the 10120 (R1) key resistance zone before I get confident on the continuation of that trend. Something like that could initially aim for the 10350 (R2) resistance zone.
Looking at our short-term oscillators, I see that the RSI emerged above 50 and is headed towards its downside resistance line, while the MACD has bottomed near its zero line and looks ready to cross above its trigger line.
These indicators detect positive momentum and support the case that the index is possible to trade higher.
As for the bigger picture, the fact that the price is trading above the prior downside resistance line taken from the peak of the 30th of November keeps the medium-term outlook positive as well.
Support: 9800 (S1), 9600 (S2), 9430 (S3)
Resistance: 10120 (R1), 10350 (R2), 10530 (R3)