Today, we focus on Deutsche Post, which recently confirmed a bullish reversal on the daily chart. The stock has formed an inverse head and shoulders pattern, marked by green rectangles, indicating a potential shift in trend.
Currently, Deutsche Post is trading above a key resistance level around €36, which is marked in yellow. The price has also broken the neckline of the inverse head and shoulders formation, shown in purple, further reinforcing the positive sentiment surrounding the stock.
The final resistance that remains is the black downtrend line, which, once broken, would confirm a strong long-term buy signal. As long as the price stays above the yellow support, the outlook remains bullish, and buyers will likely attempt to push the stock higher.
However, if Deutsche Post drops back below the yellow support, it would signal a failed breakout, invalidating the inverse head and shoulders pattern and shifting sentiment to bearish. In that case, a sell signal would be triggered, warning of further downside potential.