Since the beginning of the year the index fell more than 6.0% however last week rallied more than 2.5%.
Last week the index initially fell but found enough support to trim all its loses and close near the high of the week, in addition managed to close within previous week range, suggesting a week bullish momentum.
The Stochastic is showing an oversold market although is still displaying a strong bearish momentum.
The DAX30 is in a well-established bearish phase since the beginning of December 2015 plus continues to close below the 10 and 50 week moving averages and shy above the 200-week moving average.
Expecting a downward move to 2015 low at 9,300 (scenario 1) on a bounce from a weekly resistance at 10,054 or a break above the weekly resistance at 10,054 could push the index up to a key level at 10,652 (scenario 3).