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
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
Wall Street
Bearish
Gold
Mixed
GBP/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
USD/JPY
Bearish
More View more
Real Time News
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.15% 🇯🇵JPY: 0.04% 🇪🇺EUR: -0.08% 🇨🇦CAD: -0.09% 🇬🇧GBP: -0.15% 🇦🇺AUD: -0.15% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/tTYWvu60SE
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: FTSE 100: -0.25% US 500: -0.35% Wall Street: -0.36% France 40: -0.40% Germany 30: -0.57% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/cyYqs9hGYZ
  • 🇫🇷 Business Confidence (OCT) Actual: 93 Expected: 96 Previous: 96 https://www.dailyfx.com/economic-calendar#2020-10-22
  • Heads Up:🇫🇷 Business Confidence (OCT) due at 06:45 GMT (15min) Expected: 96 Previous: 96 https://www.dailyfx.com/economic-calendar#2020-10-22
  • 🇩🇪 GfK Consumer Confidence (NOV) Actual: -3.1 Expected: -2.8 Previous: -1.7 https://www.dailyfx.com/economic-calendar#2020-10-22
  • What are some trading mistakes @nickcawley1 made during his career and what did he learn from them? Find out:https://t.co/y3cckNW22W https://t.co/DWXPd1Fa8E
  • 🇳🇴 Unemployment Rate (AUG) Actual: 5.3% Expected: 5.1% Previous: 5.2% https://www.dailyfx.com/economic-calendar#2020-10-22
  • 🇩🇪 GfK Consumer Confidence (NOV) Actual: -3.1 Expected: -2.8 Previous: -1.6 https://www.dailyfx.com/economic-calendar#2020-10-22
  • Heads Up:🇳🇴 Unemployment Rate (AUG) due at 06:00 GMT (15min) Expected: 5.1% Previous: 5.2% https://www.dailyfx.com/economic-calendar#2020-10-22
  • Heads Up:🇩🇪 GfK Consumer Confidence (NOV) due at 06:00 GMT (15min) Expected: -2.8 Previous: -1.6 https://www.dailyfx.com/economic-calendar#2020-10-22
DAX 30 & CAC 40 Technical Outlook: Struggling at Strong Resistance

DAX 30 & CAC 40 Technical Outlook: Struggling at Strong Resistance

2019-09-30 15:00:00
Paul Robinson, Strategist
Share:

DAX & CAC Technical Outlook

  • DAX trading up near the January 2018 trend-line
  • CAC treading around multi-year highs, but can it get through?

For fundamental and technical forecasts, trade ideas, and educational guides, check out the DailyFX Trading Guides page.

DAX trading up near the January 2018 trend-line

The DAX is currently trading around the trend-line running down from the January 2018 high. The German benchmark turned down from the trend-line on September 20th, and with other connecting points running over recently (July), it’s an important line of resistance to watch in the very near-term.

To breach the line will require a close above the trend-line and 12491. As long as price stays capped by resistance the outlook will remain neutral to bearish. It’s not the tightest channel off the August low, but nevertheless the DAX is trading outside of it which suggests a slight fracturing in momentum.

Looking the big-picture, what happens in the near-term could impact the longer-term. The head-and-shoulders (H&S) scenario is still very much alive, with the right shoulder possibly coming here soon at the Jan ’18 trend-line we could see a strong turn down.

The H&S set-up is only a scenario, but one to continue to monitor as we head down the home stretch of 2019.

DAX 30 Daily Chart (Jan ’18 t-line resistance)

DAX 30 & CAC 40 Technical Outlook: Struggling at Strong Resistance

DAX Chart by Tradingview

CAC treading around multi-year highs, but can it get through?

The CAC is in a battle with the highs from May 2018 and upper parallel from April. There was a recent breakout above the 2018 high, but that was quickly erased. This keeps a bit of pressure on the CAC to break free. In the short-term there is a small H&S pattern to consider, it’s been building since Sep 12. If that triggers and the DAX turns down from its even bigger line of resistance, then look for the French market to follow suit.

CAC 40 Daily Chart (small H&S around 2018 highs)

DAX 30 & CAC 40 Technical Outlook: Struggling at Strong Resistance

CAC 40 Chart by Tradingview

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.

DISCLOSURES