European Basket case

It is a basket case at a Macro level but the stock markets have been performing very well recently. One argument I read was they are adjusting values to the currency decline. That said momentum indicators are starting to diverge and we should be at the end of this move.

DAX below shows it went past the channel I showed over a week back and is sitting on top of it. A further decline would be a sign of weakness which is already in the momentum indicator on top of the chart.

CAC has also has multiple divergences. It is close to the upper end of a 4 year channel.