DAX 30 Is Testing The January 27 high of 9931
- The trend of the DAX 30 is bullish above Thursday’s low of 9397 and bearish below.
- The next resistance level is the January 27 high of 9931 followed by the January 13 high of 10,164.
- Thursday’s low of 9397 is support and followed by the February 24 low of 9122.
- E.U. Industrial Production is projected to rise by 1.7% MoM, up from -1.0% in December, according to a Bloomberg News poll.
The DAX 30 has recuperated most of its losses generated on the back of last week’s ECB rate meeting.
The short-term trend is now bullish above Thursday’s low of 9397 and price may drift higher so long as this low is being respected.
The January 27 high of 9931 is resistance and a break to this level may trigger further buying, which may in turn lift the DAX 30 to the January 13 high of 10,164.
On a break to Thursday’s low of 9397, the trend may turn bearish as the sequence of higher and higher lows since February 11 would end. In this scenario, price may reach the February 24 low of 9122, with a break to this level potentially opening up for a decline to the yearly low of 8705.
Euro-zone Industrial Production
E.U. Industrial Production is projected to rise by 1.7% MoM from -1.0% in December, according to a Bloomberg News poll. A slightly stronger than expected reading may lend a boost to the DAX 30, while a slightly softer reading than expected could see the opposite outcome. There are no other potential market movers on tap today.
DAX 30 | FXCM: GER30
Created with Marketscope/Trading Station II; prepared by Alejandro Zambrano
--- Written by Alejandro Zambrano, Market Analyst for DailyFX.com
Contact and follow Alejandro on Twitter: @AlexFX00
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