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
Mixed
Oil - US Crude
Bearish
Wall Street
Bearish
Gold
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
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
USD/JPY
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
  • GBP/USD continues to climb back towards 1.40 $GBPUSD https://t.co/On4fkVULFQ
  • The US Dollar is in a pretty messy state at the moment, especially from short-term vantage points. Get your $USD market update from @JStanleyFX here:https://t.co/NfbIpD4yPj https://t.co/V3Fg0WpQHi
  • today's webinar ready to go -> https://www.dailyfx.com/forex/video/live_events/2021/03/02/us-dollar-price-action-setups-usd-gbpusd-gbp-usd-usdjpy-usd-jpy-audjpy-aud-jpy.html https://t.co/wlXd4DqoNu https://t.co/xxuiNHzCp2
  • AUD/USD on the rise prior to Australia's Q4 GDP print $AUDUSD https://t.co/2lgNJYkbWV
  • Commodities Update: As of 19:00, these are your best and worst performers based on the London trading schedule: Gold: 0.58% Silver: 0.51% Oil - US Crude: 0.12% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/bRXxRZST1Z
  • US Senate Majority Leader Chuck Schumer says there are enough votes needed to pass President Joe Biden's $1.9-trillion stimulus bill. $SPX $NDX $DJI $RUT
  • OPEC+ members reportedly said to cool down oil market with increased production. WTI crude oil prices down nearly -6% from last week's high, currently hovering around $60/bbl. $CL_F $USO #OOTT https://t.co/mvATw1o4Ws
  • OPEC+ set to cool oil market with increased production - BBG
  • Fed's Brainard: -A persistent tightening of financial conditions would be a concern -Will continue to watch market developments carefully $TNX $TLT $AGG $LQD $TIP
  • Fed's Daly -Encouraged by inflation compensation rising to 2% -Don't see runaway inflation as imminent risk -Inflations reacts less now to employment, output changes -Must not let memories of high inflation dictate policy -Will be accommodative for some time to reach goals $USD
DAX & CAC Chart Outlook: Breakout Gaps in Progress, but Can They Hold?

DAX & CAC Chart Outlook: Breakout Gaps in Progress, but Can They Hold?

Paul Robinson, Strategist

DAX/CAC Highlights:

  • DAX gapped to a new record high this morning
  • But there is resistance just ahead by way of a top-side trend-line
  • CAC also in breakout territory, but has a pair of lines to overcome

For longer-term fundamental and technical analysis on the DAX, CAC, and other major markets, see the Q1 Trading Forecasts.

In recent sessions, the DAX found life once the euro took a breather after its breakout to 3-year highs. It was a scenario we painted last week, and thus far is playing out – but will the breakout last? The market is strong, of course, but there is reason for caution right on the horizon.

Despite having broken out into uncharted territory, there is an obstacle in the way not too far ahead. The top-side trend-line extending over from 2015 could be problematic. Overhead trend-lines in a strong market aren’t often major hurdles, but can sometimes have a surprisingly strong influence.

With that said, we’ll want to pay attention to how price action unfolds around this line of resistance, currently in the area of 13625. Should we see pressure exerted, the first levels of support clock in at the prior high of 13525, the gap-fill at 13463, and 13425.

Check out this guide for ideas on Building Confidence in Trading

Chart 1 – DAX: Daily

DAX daily chart

The CAC is in the same boat in terms of breaking out above the November high and then finding top-side trend-line resistance, but with a pair of them crossing over instead of just one. The first is the same 2015-current line which the DAX has to contend with, and the second is from May. The breakout high at 5536 is seen as the first level of support.

Chart 2 – CAC: Daily

CAC daily chart

---Written by Paul Robinson, Market Analyst

To receive Paul’s analysis directly via email, please SIGN UP HERE

You can follow Paul on Twitter at @PaulRobinsonFX

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

DISCLOSURES