Overnight summary
Global markets traded cautiously ahead of the Federal Reserve’s (Fed) expected rate cut, with Wall Street dipping slightly, Europe posting its steepest drop in nearly a month, Asia holding steady, volatility rising, and UK inflation slowing.
DAX 40 slips to near 4-month low
The DAX 40’s fall through its August low at 23,381 doesn’t bode well for the bulls with the June low at 23,052 representing a possible downside target.
This scenario will remain in play while no bullish reversal takes the German blue chip index above Monday’s high at 23,855.
Immediate resistance sits at the early August low at 23,381 and more resistance around the 2 September low at 23,483.
DAX 40 daily candlestick chart