DE30 tests support at 13,800 pts

German DAX trades almost 1.3% lower today

German DAX (DE30) drops almost 1.3% today, following a downbeat Asian session. While declines on the Chinese stock exchanges were much deeper today, DAX is one of the worst performing European indices during the first hour of the cash trading. Index dropped below the low from February 10 and trades at the lowest level since February 2. DE30 is testing support at 13,800 pts and 50-session moving average can be found slightly below it. In case DE30 finishes the day at current levels, a bearish engulfing pattern would surface on the chart. On the other hand, breaking back above the 38.2% retracement in 13,850 pts area could hint at buyers remaining in play.