News & Analysis at your fingertips.

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. See our updated Privacy Policy here.

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
Subscribe
Please try again
Oil - US Crude
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
More View more
Real Time News
  • Indices Update: As of 14:00, these are your best and worst performers based on the London trading schedule: France 40: -0.09% US 500: -0.14% FTSE 100: -0.29% Wall Street: -0.30% Germany 30: -0.45% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/K8pJJZxuTM
  • The GOP has rejected the Democrats global offer on an infrastructure agreement - CNN
  • Commodities Update: As of 14:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.13% Silver: 0.11% Gold: -0.21% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/blZDvtm5lh
  • 🇺🇸 New Home Sales MoM (JUN) Actual: -6.6% Expected: 3.5% Previous: -7.8% https://www.dailyfx.com/economic-calendar#2021-07-26
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 93.88%, while traders in Wall Street are at opposite extremes with 72.92%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/leiNtJOg06
  • Commodities Update: As of 13:00, these are your best and worst performers based on the London trading schedule: Silver: 0.35% Gold: 0.06% Oil - US Crude: -0.32% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/5GFYVwsGKM
  • Heads Up:🇺🇸 New Home Sales MoM (JUN) due at 14:00 GMT (15min) Expected: 3.5% Previous: -5.9% https://www.dailyfx.com/economic-calendar#2021-07-26
  • A somewhat relatively subdued start to the week for the Euro, with the currency remaining anchored around the 1.18 handle. Get your market update from @JMcQueenFX here:https://t.co/9e9i7pW8DQ https://t.co/54lOyEZbed
  • Indices Update: As of 13:00, these are your best and worst performers based on the London trading schedule: France 40: 0.01% US 500: -0.13% Wall Street: -0.18% Germany 30: -0.22% FTSE 100: -0.23% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/X9yC7S8wfC
  • DoJ are reportedly examining if Tether misled banks about Crypto business
DAX 30 Tightens Range as it Nears the Tip of a Triangle Pattern, Focus on Upcoming Earnings Season

DAX 30 Tightens Range as it Nears the Tip of a Triangle Pattern, Focus on Upcoming Earnings Season

Daniela Sabin Hathorn, Analyst

Key Talking Points:

  • DAX 30 resumes pullback ahead of earnings season
  • Range tightens as triangle pattern nears end
Advertisement

The DAX 30 rally is looking exhausted once again as the German index leads the losses in Europe this morning after a weaker than expected June services PMI reading (57.5), despite a big jump from the previous month’s reading (52.8).

After the strong rally over the past two months, the DAX 30 was looking ripe for a breather as renewed virus and geopolitical concerns emerge. The Daily chart is showing evidence of consolidation with a negative bias in the short-term although a strong economic environment and continued cheap financing conditions are likely to keep the German index supported in the medium term.

With a focus on the earnings season coming up soon, stocks performance will be contingent on market expectations surrounding an extraordinary year for company performance. The question is whether we will start to see a return to normal earnings after the peak in the last few months, and how will stock performance be impacted by this inevitable drop to more normal levels. The earnings season is likely to mark the pace of equities in the US when it kicks off next week, with special attention to future guidance and earnings calls as investors are likely to look for guidance about the rest of the year.

DAX 30 4-hour chart

DAX 30 Tightens Range as it Nears the Tip of a Triangle Pattern, Focus on Upcoming Earnings Season

Looking at the 4-hour chart the DAX 30 is trading in a symmetrical triangle pattern. The bias is slightly skewed to the upside as the trendline support has been in play for longer but the resistance trendline has recently been narrowing down the range towards the peak of the triangle pattern. Volatility is expected to pick up towards this area as a break on either side is anticipated.

The initial pullback from today’s session found perfect support on the ascending trendline which reinforces the pattern’s strength. The DAX 30 should stay above 15,540 over the coming days as the triangle consolidates, fluctuating around the 15,500 mark. On the upside, resistance is likely to hold at 15,700 as the triangle narrows towards its tip.

Learn more about the stock market basics here or download our free trading guides.

--- Written by Daniela Sabin Hathorn, Market Analyst

Follow Daniela on Twitter @HathornSabin

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

DISCLOSURES