We have seen four 52 week highs during last 5 days when Beiersdorf, Fresenius, Merck and SAP have been rising to higher levels. Beiersdorf and Merck are already trading over 30-times their earnings while Fresenius is at 19 and SAP below 16 (according to Yahoo Finance). So, all these four are highly above the average Dax P/E.
Anyway, the volume dropped to 30% from the recently seen volume. The investors just seem to be waiting a good reason to buy or sell even the upside seems to be limited.
20 day highs versus lows is already quite high.
I am watching few indicators carefully to see early topping sings or weaknesses. McClellan Summation Index is based on advance/decline -ratio, and it has proven to be quite reliable indicator. For today, we would need to see 8 more declining than advancing stocks inside Dax if we want this indicator to to decline (ie. 19 declining and 11 advancing).
Dax volume index is dragging a little bit compared to the price index.
