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
GBP/USD
Bearish
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
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here: https://t.co/nAa0fHHGbZ https://t.co/Bnih4YvTdg
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am ET on DailyFX! https://t.co/lxd5fZ5LG7
  • (Weekly Fundy) Crude Oil May Rise as Covid Case Growth Slows. WTI Eyes OPEC Outlook, Evergrande #CrudeOil #WTI #OPEC #Evergrande https://www.dailyfx.com/forex/fundamental/forecast/weekly/title/2021/09/26/Crude-Oil-May-Rise-as-Covid-Case-Growth-Slows-WTI-Eyes-OPEC-Outlook-Evergrande.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/76e2aGf3p0
  • Recessions can devastate the economy and disrupt the fortunes of individuals, businesses, and investors. But economic decline in the business cycle is inevitable, and your trading can be defined by how you respond to crisis. learn how to prepare here: https://t.co/e4Cnoc1dk0 https://t.co/NhsMS1EY4b
  • We are heading into the final trading days for the month of September and event risk thins out amid the $SPX's rebound. This is what history says for the 39th week of the year and here is my take on the variable factors: https://www.dailyfx.com/forex/video/daily_news_report/2021/09/25/SP-500-and-Dollar-Have-Different-Views-for-Last-Week-of-September.html https://t.co/4OBVmrvI7I
  • Further your forex knowledge and gain insights from our expert analysts on AUD with our free guide, available today: https://www.dailyfx.com/free-trading-guides?ref-author=social#forecastschoices=AUD?QPID=30472&CHID=9 https://t.co/LHJi7CNFmM
  • $EURUSD https://t.co/KZyXX6p2oI
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Find out about the recent history of ISM data, how to track it, and how to trade its release here: https://t.co/MZtBh8pYG3 https://t.co/1zNf5dpDjU
  • The continuity seen across these volatility cycles is a good thing. Historical precedence offer a blueprint for identifying conditions supportive for a vol-event to occur, and how they may unfold. Deepen your knowledge of historical volatility here: https://t.co/vg7w10la3j https://t.co/z8z6BNudn5
  • #PELOSI SAYS WE ARE GOING TO PASS THE INFRASTRUCTURE BILL THIS WEEK PELOSI SAYS SHE WILL NEVER BRING TO THE HOUSE FLOOR A BILL THAT DOESN'T HAVE THE VOTES TO PASS $USD $SPX $XAUUSD
DAX 30 Remains Under Pressure, NFP on Tap

DAX 30 Remains Under Pressure, NFP on Tap

Alejandro Zambrano, Market Analyst

Talking Points

  • The DAX 30 maintains a bearish bias below the April 3 afternoon intraday high of 9972.
  • Price is also trading around critical levels, where the short-term downtrend meets the longer-term bullish trend, in place since February.
  • A potential trigger for either a continuation of the short-term bearish trend or the end to it is today’s publication of the U.S. labor report.

Yesterday’s price bounce to the DAX 30 (CFD: GER30), induced by bargain hunters, did not hold. Instead this morning, the trend was still bearish below the April 3 afternoon intraday high of 9972.

The DAX 30 trend has been bearish following price reaching a high of 10,488 on April 2 and the April 3 afternoon intraday high of 9972 is one of the stronger swing highs of this downtrend.

According to classic technical analysis, when the trend is bearish, like it was at the time of writing, we should expect the formation of even lower highs and lower lows right up until the sequence of lower highs ends.

However, when a short-term trend like the one outlined above approaches the critical levels of a longer-term trend it should tend to weaken and the likelihood of even lower lows diminishes according to the fundamental principles of technical analysis.

Following the principle that the longer-term trend tends to hold better than the short-term trend, the DAX 30 finds itself in such a position today given that price was trading relativity near to its April monthly low of 9437.

The April 7 low is the most recent swing low of the bullish trend in place since the February 11 low of 5705 and for this trend to remain bullish price must not breach the April 7 low. On a failure of the low to hold, the bullish trend may end following the ending of the sequence of higher lows.

A potential trigger for either a continuation of the short-term bearish trend or the start of the end to it is today’s publication of the U.S. labor report. The markets expect an outcome of 200k from 215k as per a Bloomberg News survey. It is hard to know exactly how the market will react, but in general, a higher than expected outcome may support share prices, while a lower than expected outcome may lower the price of shares. For more on the U.S. labor report, please read Strong Non-Farm Payrolls (NFP) Report to Fuel EUR/USD Weakness.

Our forecasts for Q2 2016 are now live on the site. Download them for free.

DAX 30 | CFD: GER30

Please add a description for the image.

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

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

DISCLOSURES