DFMGI Technical Overview

DFMGI Technical Overview

Probable short term double-bottom.

The index has not had a clear long term trend since mid- 2016 as it has been trading in a broad range between 3200 and 3750. The market made an astounding loss after it found strong resistance near the top of that range, consequently reversed back down and dropped below its mid-point setting a clear Bearish picture in the medium and short term. But recently the decline had been paused and the short term trend might witness major changing developments that will materialize with a break above 3480. Short term market players can start instating positions as soon as they spot a breach above that level to target the 3530 and 3620 levels. Only the break below 3380 will restore the short term downtrend.