Technical Analysis - DAX 30 and S&P 500

The DAX 30 bounced higher as I mentioned in my last post. Now the index is back at the very critical level of 7320/7325.  A break above 7320 would send the DAX back up to 7400. A break below this week's lows would be very bearish.

Today's close in the S&P 500 is critical and the bulls should lift the index back to the highs around 1310 into the close. I am expecting a test of the 50 and 100 day moving average in the S&P 500 at 1317. The S&P 500 should hold 1294 otherwise another test of the 200 day moving average around 1264 is in the cards.