Bullish short-term traders might do well to take their foot off the gas Friday, with two technical analysts telling CNBC that major global benchmarks were set for a short correction over the next month.
Delving deep into the technicals, Yacine Kanoun, managing director at PivotHunters, a portfolio management firm based in the U.K., highlighted that Germany's blue chip index, the DAX, has already dipped by 3 or 4 percent since last week.
He now expects further falls in the short term on both the DAX and the U.S. benchmark S&P 500.
"Definitely the market is going to correct here," he told CNBC Friday. "I think the correction has started on the DAX."
U.S. stocks traded sharply in the red Friday, following a global decline in equities on renewed Greece concerns and new Chinese trading regulations, amid U.S. inflation and consumer data.
He said the expiry of options contracts—a type of financial instrument—on Friday would herald the start of a correction in the U.S., which which would follow the German bourse lower over the next month and lose 10 percent from its current peak.