Rally not finished ..YET

Even though it feels like it yesterday's falls in equity markets (blamed on various things..Italian elections, US FISCAL CLIFF part II! etc etc) probably is NOT the beginning of a sustained bear market move.

Sentiment has reversed quickly , with the FEAR factor rising  rapidly..NOT normally the way BEAR mkts start

Looking at the weekly charts

DAX

Weekly chart

Hovering at support 7570/7580

would need to break that significantly for more sustained correction

trend line support and horizontal support  seen better on DAILY chart

FTSE weekly

Daily chart