Looking at the technical picture of the Deutsche Post AG stock (ETR: DPW) on our 4-hour chart, we can see that the share price is still trading below a short-term tentative downside resistance line taken from the high of February 16th. Due a recent strong move lower, there is a possibility to see a small correction higher, before another potential move lower, especially if the 38.47 hurdle holds for now. However, the overall near-term outlook is still negative.
Given that the 38.47 obstacle has acted as good support area today, we may see a slight correction higher. DPW could test the 41.00 zone, or the aforementioned downside line. That said, if that downside line remains intact, another decline might be possible. If so, the stock could fall back to the 38.47 area, a break of which would confirm a forthcoming lower low, opening the door to further declines. The share price may fall to the 37.27 hurdle, or even to the 35.00 level, marked by the low of August 4th, 2020.
The RSI is pointing slightly to the upside but remains well below 50. The MACD is also pointing lower and continues to run below zero and the trigger line. The two indicators show negative price momentum, supporting the above-discussed scenario.
Alternatively, if the stock breaks the previously mentioned downside line and then climbs above the 43.09 hurdle, marked by the high of March 4th, that may attract more buying interest. DPW could drift to the 45.65 obstacle, which is the high of February 25th, or to the 47.50 zone, marked by the high of February 23rd. That zone might temporarily halt the upmove, however, if the buyers stay in control, they may push the stock towards the psychological 50.00 mark, which is the lowest point of January.
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