We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Bullish
Wall Street
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
GBP/USD
Bullish
USD/JPY
Bearish
More View more
Real Time News
  • Further gains in USD/IDR could be curbed as USD/PHP establishes a floor around 2017 lows. USD/MYR may fall next as USD/SGD fast approaches a key falling trend line.Get your #ASEAN currencies market update from @ddubrovskyFX here:https://t.co/9JgZm2n8Fl https://t.co/FeBuqJ64qB
  • Japanese Yen Outlook Bullish on Coronavirus Surge, US Earnings Season https://www.dailyfx.com/forex/fundamental/forecast/weekly/jpy/2020/07/11/Japanese-Yen-Outlook-Bullish-on-Coronavirus-Surge-US-Earnings-Season.html
  • The New Zealand Dollar is aiming higher, with NZD/USD eyeing fresh yearly highs while AUD/NZD may be carving out a bearish Head and Shoulders chart pattern. Get your $NZDUSD market update from @DanielGMoss here:https://t.co/osFxXvq5xF https://t.co/sKBkNvMvPz
  • Did you know a Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out: https://t.co/td5WA4hCZC https://t.co/3qXauAsm2Q
  • The Dow Jones and S&P 500 nervously face the earnings season as coronavirus deaths could reimpose lockdowns. The DAX 30 eyes an EU rescue package as the FTSE 100 awaits GDP data. Get your #equities update from @ddubrovskyFX here: https://t.co/A0k6JMMBOg https://t.co/iihbEYsfgi
  • It was a surprisingly quiet week in oil, with the net of this week’s price action showing a doji. But a longer-term formation has built that may open the door to that next trend. Get your #commodities update from @JStanleyFX here: https://t.co/zz6M2ce55V https://t.co/UxlbpgLBkq
  • Why financial market traders must monitor both monetary and fiscal policy? Find out from @MartinSEssex here:https://t.co/Fkzk88Y5gm https://t.co/beKjEODs2y
  • RT @RichDvorakFX: @Investingcom Seems to me like investors ‘high’ on central bank liquidity are fiending for more and staring down the edge…
  • Get your snapshot update of the of relative currency strength and exchange status from around the globe here: https://t.co/DmhBkd4B0k https://t.co/b8RNJQKE1m
  • The Spinning Top candlestick pattern forms part of the vast Japanese candlestick repertoire with its own distinct features. Gain a better understanding of the spinning top candlestick here: https://t.co/yXomAftdv8 https://t.co/wOQAHZVnxB
DAX 30 Technical Forecast: Record Highs are in Sight

DAX 30 Technical Forecast: Record Highs are in Sight

2019-11-08 19:00:00
Peter Hanks, Analyst
Share:

DAX 30 Technical Forecast:

  • The DAX 30 will look to continue its recent rally in the week ahead, now with an abundance of support beneath
  • The final deadline for the Section 232 United States auto tariff investigation will pass next week, potentially bolstering risk appetite
  • Still, consolidation could be a healthy development before the next leg higher

DAX 30 Technical Forecast: Record Highs are in Sight

The DAX 30 has staged an awe-inspiring rally since early October, adding to earlier gains established in early September. Taken together, the rallies have seen the German equity index surge more than 10% since September 1, compared to the S&P 500’s 7% gain in the same span. Consequently, the DAX and S&P 500 are neck-and-neck in the year to date, enjoying returns of approximately 25% each. The miraculous recovery was aided in part by an accommodative European Central Bank and more recently by improving US-China trade relations which have since been called into question.

DAX 30 Price Chart: Daily Time Frame (January – November) (Chart 1)

DAX30 Price Chart versus S&P500, FTSE100

Chart created in TradingView.

Despite the deterioration in trade talks, it may still be presumptuous to call a top at this point. Still, after weeks of nearly unabated gains, consolidation could prove to be a healthy development in pursuit of a longer-term continuation higher. With that said, a series of important economic data releases due in the week ahead, could result in volatility with potential to send the DAX ricocheting between technical levels. Thus, it is important to take stock of the various technical levels the DAX will look to enjoy in the event of a continuation higher – or decline lower – while remaining cognizant that the longer-term trend looks to be higher at this time.

To that end, resistance is rather sparse. Aside from prior all-time highs around 13,500, most of the major technical barriers have been dispatched of – leaving the road higher relatively clear.

Dow Jones Price Chart: Daily Time Frame (October 2017 – November 2019) (Chart 2)

DowJones Daily Price Chart

Conversely, the DAX’s recent rally has afforded it a bounty of support. First and foremost, a horizontal trendline from the high’s in April 2018 will look to buoy prices over the shorter-term, while subsequent support could come into play around 12870 if selling gains pace. A retracement to 12870 could pose as the first stint in a consolidating pattern, where a drop down to 12500 could look to stall a deeper retracement. As the market awaits upcoming price action, follow @PeterHanksFX on Twitter for further updates and analysis.

--Written by Peter Hanks, Junior Analyst for DailyFX.com

Contact and follow Peter on Twitter @PeterHanksFX

Read more:Stock Market Outlook Weakens After US-China Meeting Delayed

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.