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
Oil - US Crude
Mixed
Wall Street
Bullish
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • Commodities Update: As of 11:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 1.11% Silver: 0.55% Gold: 0.11% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/nwOjSyoAbq
  • Forex Update: As of 11:00, these are your best and worst performers based on the London trading schedule: 🇪🇺EUR: -0.03% 🇯🇵JPY: -0.04% 🇨🇭CHF: -0.09% 🇨🇦CAD: -0.18% 🇦🇺AUD: -0.30% 🇬🇧GBP: -0.33% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/zrfx5KPV5X
  • EU's Šefčovič: says Brexit talks are difficult but constructive $GBP
  • 🇫🇷 Unemployment Benefit Claims (OCT) Actual: -56.6K Previous: -15.2K https://www.dailyfx.com/economic-calendar#2020-11-25
  • Indices Update: As of 11:00, these are your best and worst performers based on the London trading schedule: France 40: -0.17% US 500: -0.18% Wall Street: -0.25% Germany 30: -0.36% FTSE 100: -0.40% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/arymbmpUKF
  • Heads Up:🇩🇪 Bundesbank Wuermeling Speech due at 11:15 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-11-25
  • As a trader do you know when the markets let you take a break? Find out when the stock markets are closed. Check out @DailyFX holiday calendar here. https://t.co/M3ndtjxrOd https://t.co/EZ7emLN3F6
  • Heads Up:🇫🇷 Unemployment Benefit Claims (OCT) due at 11:00 GMT (15min) Previous: -15.2K https://www.dailyfx.com/economic-calendar#2020-11-25
  • 🇿🇦 Business Confidence (Q4) Actual: 40 Previous: 24 https://www.dailyfx.com/economic-calendar#2020-11-25
  • Heads Up:🇿🇦 Business Confidence (Q4) due at 10:00 GMT (15min) Previous: 24 https://www.dailyfx.com/economic-calendar#2020-11-25
DAX Technical Outlook Leading Up to ECB

DAX Technical Outlook Leading Up to ECB

2017-09-06 08:32:00
Paul Robinson, Strategist
Share:

What’s inside:

  • DAX trying to capture June trend-line, but struggling to do so
  • On a move higher ~12300 will become a big focal point
  • ECB tomorrow, how the euro reacts will be important

New to Trading? Check out this beginner’s guide – Building Confidence in Trading

The DAX is struggling to make any headway, as attempts to climb above the trend-line running off the June high fail. Yesterday, the market was putting in a good showing beyond the noted line of resistance before carving out a minor key reversal day. The reversal doesn’t necessary put the market at immediate risk, but it is the second time since the end of last week we have seen a turn lower on the current bounce from below 11900.

The 200-day MA may be providing some help here to keep the index propped up; it is currently running higher at 12052. If the market can remain supported and a clean break above the June trend-line can develop, focus will turn towards an even more important area of resistance. The area surrounding 12300 has been formidable since the end of July, with it having been influential as far back as April. This is a significant area of interest for both sides of the tape. Stay below and the outlook remains for more choppy range price action with a negative bias to it; trade above and the market may grow legs.

The euro has certainly been influential on the DAX in recent months, with the 3-month correlation at a strongly negative 94%. Tomorrow, we have an ECB meeting and the market will be looking for better clarity as to their intentions with the current QE program. The euro looks vulnerable for a setback, as we’ve been discussing recently. If the ECB sparks more weakness in the single-currency, it could be what the DAX needs to break above both previously mentioned levels of resistance. Or, if we see the euro regain traction to the upside the trend lower in German equites (albeit might still be choppy) could reassert itself.

DAX: Daily

DAX Technical Outlook Leading Up to ECB

Paul conducts webinars Tuesday-Friday. See the Webinar Calendar for details, and the full line-up of upcoming live events.

---Written by Paul Robinson, Market Analyst

You can receive Paul’s analysis directly via email by signing 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