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.

Free Trading Guides
Oil - US Crude
Wall Street
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
  • $EURUSD Daily Pivot Points: S3: 1.0809 S2: 1.0858 S1: 1.0881 R1: 1.093 R2: 1.0957 R3: 1.1007 https://www.dailyfx.com/pivot-points?ref=SubNav?utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
  • The Hang Seng suffered its worst day since 2015 on Friday on China anti-sedition proposal. Get your market update from @FxWestwater here:https://t.co/CMQ1UTewiF https://t.co/FSeumhbZn3
  • Trump says he will announce action on China before the week is over - BBG
  • Alright, so a breakout higher then in my #WallStreet index despite negative RSI divergence. This may have opened the door to revisiting peaks in average US stock prices from early March. Rising support from mid-May seems to be guiding the index higher (pink line) https://t.co/2dbegpLr7v
  • BOC's Poloz: - Policy from fiscal and monetary side set base for economic recovery - Uncertainty around virus remains -BBG
  • 🇰🇷 Business Confidence Actual: 49 Previous: 52 https://www.dailyfx.com/economic-calendar#2020-05-26
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 1.69% 🇳🇿NZD: 1.60% 🇨🇦CAD: 1.50% 🇪🇺EUR: 0.78% 🇨🇭CHF: 0.65% 🇯🇵JPY: 0.15% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/QHpL43u1ca
  • archive of today's webinar ready to go https://t.co/dCPU3X7BvY
  • Trump says virus vaccines and remedies are going to be here 'very shortly' - BBG
  • Heads Up:🇰🇷 Business Confidence due at 21:00 GMT (15min) Previous: 52 https://www.dailyfx.com/economic-calendar#2020-05-26
DAX 30 Technical Forecast – Downside Looks Limited, but So Does the Upside

DAX 30 Technical Forecast – Downside Looks Limited, but So Does the Upside

2018-12-18 10:30:00
Paul Robinson, Strategist

DAX 30 Technical Highlights

  • DAX downside looks limited in the near-term
  • Upside capped by poor market tone, resistance

We’ve got forecasts, trading ideas, and educational content on the DailyFX Trading Guides page.

DAX may stay relatively stagnant through year-end

There hasn’t been a lot of developments to discuss lately with regards to the DAX, which may be a good thing for the health of the market. Quiet has become the new bullish with poor technical posturing hanging over the German benchmark’s head from a long-term standpoint.

The head-and-shoulders dating back to June 2017 and broken 2011 trend-line are very significant big-picture technical events pointing to much lower prices. But we may not have major selling until after first seeing a little side-ways to upward price action.

If the DAX rallies from here it will be quick to bump its head into overhead levels, with the lows from last month right around the 11k-mark, followed by the trend-line from September, and underside of the 2011 trend-line just mentioned. One of those looks likely to stop a poorly postured market from bouncing. If it wants to rally at all.

Looking lower there isn’t much support for the market to lean on other than it may be a bit oversold. Yesterday, the U.S. markets tagged off on some big support levels from earlier this year, which could be a positive if they hold into year-end. Given their global impact this may be enough to help keep sellers at bay elsewhere.

This doesn’t make for a confident situation to be long, just more of a warning that newly established shorts may come under pressure. From where I sit a bounce would be a welcomed event for would-be shorts to sell on a touch and turn lower from solid resistance levels. At the immediate moment, we are in a bit of limbo as the DAX isn’t situated at anywhere particularly meaningful and this week is set to be the last of full market participation before holiday trading conditions set in.

For market sentiment and to learn more about how to use it in your analysis, check out the IG Client Sentiment page.

DAX Daily Chart (Resistance to show quickly on strength)

DAX daily chart, resistance to show quickly on strength

Want to learn more about trading the DAX? Check out ‘How to Trade the DAX’, and join me weekly for technical updates in the Indices and Commodities webinar.

Forex & CFD Trader Resources

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

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


News & Analysis at your fingertips.