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.

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
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
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
Wall Street
Mixed
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
Mixed
GBP/USD
Mixed
USD/JPY
Bullish
More View more
Real Time News
  • Gold and silver prices may continue to rise in the coming months on the back of falling real rates of return and the prospect of additional fiscal support under a Biden administration. Get your market update from @DanielGMoss here:https://t.co/OMNoNHn2vZ https://t.co/155l4SQU6P
  • Will the Swiss Franc find reprieve after recent losses against the Canadian and New Zealand Dollars as NZD/CHF and CAD/CHF uptrends face key chart barriers? Find out from @FxWestwater here:https://t.co/c89gcaNhTt https://t.co/vkLRsG8KEn
  • The Australian Dollar may be at risk of losses against the New Zealand Dollar after an unexpectedly high NZ inflation reading sent AUD/NZD towards challenging short-term rising trend support. Get your $AUD market update from @ddubrovskyFX here:https://t.co/JoaUMTv80S https://t.co/Hl4I8Gl7Ez
  • Japanese candlesticks are a popular charting technique used by many traders, and the shooting star candle is no exception. Learn about the shooting star candlestick and how to trade it here: https://t.co/mfwJ0sZLTs https://t.co/6lPNDoWZAw
  • The gold price rebound keeps XAU/USD within the confines of the August downtrend. From a trading standpoint. Get your $XAUUSD market update from @MBForex here:https://t.co/B3Jct6mIBD https://t.co/gHAtO2jcrp
  • Gold recovered from a steep sell-off this morning to finish the day just lightly lower $XAU $USD https://t.co/lkcyL8gts9
  • Forex Update: As of 21:00, these are your best and worst performers based on the London trading schedule: 🇪🇺EUR: 0.05% 🇨🇭CHF: 0.01% 🇯🇵JPY: -0.25% 🇳🇿NZD: -0.55% 🇦🇺AUD: -0.64% 🇨🇦CAD: -0.75% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/UVTYrLMwRS
  • Commodities Update: As of 21:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: -0.54% Gold: -0.87% Silver: -1.82% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/3BoduI6beG
  • Earnings season is underway and key tech leaders are set to report next week. Get your #Dowjones market update from @PeterHanksFX here:https://t.co/vAesS48lgG https://t.co/es8tChHx3y
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 100.00%, while traders in Wall Street are at opposite extremes with 66.20%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/cFre7YkQsc
DAX: Rallies Viewed as Selling Opportunities

DAX: Rallies Viewed as Selling Opportunities

Paul Robinson, Strategist

What's inside:

  • Continued selling yesterday pushed the DAX below prior swing lows
  • Trend off the 2015 highs looks set to reassert itself
  • Favored approach is selling failed rallies, preferably at resistance

The DAX sell-off (-3%) spilled over yesterday from Friday’s shocking ‘Brexit’ outcome. The choppy price action since early March was virtually engulfed in a single day. Even though on Friday the DAX took out the April and June swing lows on an intra-day basis, it managed to finish out closing above this support on the daily time-frame. Yesterday’s additional selling pressure took the index below those support levels on a closing basis, which marks an important event, tilting the charts downward with a lower low from both April and June.

On Thursday, when we last discussed the DAX, we noted that the daily chart from March up until last week was ‘rounding out’. As long as no new swing highs above the April peak took shape, then the whole period from February up until the April high was viewed as a bounce within the constructs of the downtrend which began more than a year ago. Obviously, the DAX never made the higher high or is even close to it at this juncture in light of recent events.

The German index appears to be poised for a run at creating a lower low on the weekly chart in the weeks ahead. But it doesn’t mean it will do so in straight-line fashion, nor do we want it to. Today’s bounce is taking shape back into the first noted zone of resistance in the 9450/550 vicinity. If the DAX doesn’t find sellers at this first reaction zone, then we will turn a bit higher to the area between ~9730 and 9825.

DAX Daily [Weekly]

DAX: Rallies Viewed as Selling Opportunities

In any event, the strong sell-off looks to have kicked off a new macro-leg lower, and with that in mind we favor establishing short positons on failing rallies, preferably at resistance levels.

Start improving your analytical and trading skills today with of our many free trading guides.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX, and/or email him at instructor@dailyfx.com.

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

DISCLOSURES