Dax accelerated violently on Friday after China announced 34% tariff for American goods, deteriorating further perspectives in the near future.
The index dropped by almost 5% on Friday and on the right track to a weekly loss of 7.5%, which is the largest in over a decade.
The basic conditions are independent of the improvement soon, but they can get worse and fuel waiting for further losses.
The reversal pattern has been completed and a double left for the nearest chart, with the formation of many bear crosses (10/20/30dma) with a convergence of 10/55dma, which is to create another bear cross.
A weekly closure below the broken FIBO support at 21021 (38.2% of 17021/23493 Uptrend) to contribute to negative signals.
Bears are approaching the next trigger in 20257 (50% departure) of the violation, from which the area of ​​20,000 (psychology / 200dma) can be revealed.
Extended increases should remain under a broken basis of the chunky daily cloud of Ichimoku (21309).
