DAX 30 Gives Back Some Of Its Gains Following Yesterday’s Strong Rise
- The DAX has pulled back but the overall trend is still bullish above the March 10 low of 9397.
- The January 13 high of 10,166 is capping and beyond this level the January 5 high of 10,400 is the next clear level of resistance.
- Later today, the Fed’s Evans and Dudley are scheduled to speak, and may provide further clues as to what the Fed’s plans are in regard to its monetary policy.
- Jobless Claims and Chicago PMI are both on deck.
The DAX 30 (FXCM: GER30) is lower by 0.40% at the time of writing in what appears to be a normal profit taking pullback following the gains that were witnessed yesterday. Other stock markets such as the FTSE 100 are lower today following the presence of softer mining stocks, in turn following soft copper prices.
The overall trend of the DAX 30 is bullish above the March 10 low of 9397 and the significance of this low centers on it being the most recent swing low. The trend is bullish as the March 10 low is higher than the preceding swing low of 9122.
The January 13 high of 10,166 is capping and beyond this level the January 5 high of 10,400 is the next clear level of resistance.
As highlighted above, the March 10 low of 9397 acts as a support, which is then followed by the February 24 low of 9122.
German Retail sales gained 5.4% YoY from -0.8% in February and subsequently beat expectations of 2.2%, while the Unemployment Claims Rate remained unchanged at 6.2% and thereby met expectations. The Unemployment change was 0k from -10k, with expectations centering on a print of -6k.
Later today, the Fed’s Evans and Dudley are scheduled to speak, and may provide further clues as to what the Fed’s plans are in regard to its monetary policy.
U.S. Jobless claims are expected to remain unchanged from last week and are currently seen at 265K according to a Bloomberg Survey. Chicago Purchasing Manager is seen at 50.5, which is a rise from 47.6 in February.
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