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
  • EUR/USD tumbled last week on the day of the ECB’s latest policy announcement, and that weakness is set to continue this week as a flood of major Eurozone economic statistics is released. Get your weekly Euro forecast from @MartinSEssex here: https://t.co/9B4rJnzWuz https://t.co/ENF3xlkuyP
  • Trading bias allows traders to make informative decisions when dealing in the market. This relates to both novice and experienced traders alike. Start learning how you may be able to make more informed decisions here: https://t.co/rz7fqi8ZEe https://t.co/Gps2Xp32h9
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfJE79 https://t.co/hftCEho1lM
  • Gold price action is primed for volatility next week with the Fed decision on deck. How real yields and the US Dollar react to fresh guidance from Fed officials will be key for gold outlook. Get your weekly gold forecast from @RichDvorakFX here: https://t.co/MzaIl7tPmZ
  • Forex liquidity makes it easy for traders to sell and buy currencies without delay, and also creates tight spreads for favorable quotes. Low costs and large scope to various markets make it the most frequently traded market in the world. Learn more here: https://t.co/arxYmtQeUn https://t.co/rFlQtyQS81
  • Canadian Dollar snapped a three-week losing streak after USD/CAD stalled at key technical resistance. Get your CAD weekly forecast from @MBForex here: https://t.co/BPHuKecwnz https://t.co/73OmuCKfU9
  • Forex quotes reflect the price of different currencies at any point in time. Since a trader’s profit or loss is determined by movements in price, it is essential to develop a sound understanding of how to read currency pairs. Learn how to read quotes here: https://t.co/CNtqrKWDBY https://t.co/KzhQnGiLyt
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/cuneuJNZlH
  • Get your snapshot update of the of top level exchanges and key index performance from around the globe here: https://t.co/d8Re5anlG5 https://t.co/danCiP5vqK
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/JhYoQ7I19K
DAX - Trend & Support Constructive; Levels in Focus

DAX - Trend & Support Constructive; Levels in Focus

Paul Robinson, Strategist

What’s inside:

  • DAX starts year off with a bang
  • Outlook remains bullish as long as Monday’s rally and late-December base holds
  • Top-side levels remain in view

Last Wednesday, we discussed the likelihood of seeing higher prices to start the new year given the trend, lack of resistance when looking to the left on the charts, along with the probability of seeing fresh capital flows. On Monday, the DAX shot higher from the base formed to conclude the year, with the rally falling just shy yesterday of the August 2015 high at 11670.

The trend for the past month has been strongly higher, and with that it has been difficult to be anything but long, or flat at the least (meaning, no shorts). Top-side levels which remain in view for the near-term are the Aug ’15 swing high at 11670, the Jul ’15 high at 11802, and then the May ’15 high at 11920. On the weekly chart there is an upper parallel, which depending on when (if) it reaches it, comes in around 11800/900. (For more, see our Q1 equity forecast.)

As long as the base created during late-December holds up between 11400/80 and the big up day on Monday isn’t negated, the path of least resistance remains upward. There is a trend-line rising up off the 12/2 low, but in our book only minor in significance given the short time since it was first considered a trend-line (1/2 first swing low connecting to 12/2 low). So, a violation of this trend-line wouldn’t phase us much. It would require a break below 11400 to give pause to an upward bias and potentially reverse our view.

For now, we will run with the notion the market wants to acheive greater heights. How the market reacts upon tests of top-side levels, should they be met, will offer clues as to whether the rally wants to continue on or has run its course and at risk of a reversal.

DAX: Daily

DAX - Trend & Support Constructive; Levels in Focus

Created with Tradingview

Each week we hold live events covering a range of topics and markets, see our Webinar Calendar for details.

---Written by Paul Robinson, Market Analyst

You can receive Paul’s analysis directly via email bysigning up here.

You can follow Paul on Twitter at@PaulRobinonFX.

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

DISCLOSURES