Facts: DE40 broke above the resistance at 26225 German index is trading in a long-term upward trend Recommendation: Trade: Long DE40 at market price Target: 26580 Stop loss: 26130

Opinion: DE40 has been trading in a downward correction move recently. However, taking a look at the H1 internal, we can see that the price bounced off the lower limit of 1:1 structure at 26065, which according to the Overbalance strategy heralds a resumption of the upward trend. In addition the price broke above the key resistance at 26225 which confirms the upward scenario. According to the classic technical analysis, as long as the price sits above the aforementioned 26225 resistance an upward move looks to be a more probable option .We recommend going long DE40 at market price with a target of 26580 pts. We also recommend placing a stop loss order at 26130. Source: xStation5