Good morning traders

Yesterday was quite subdued on the German market, we created a low early on in the session down at 10545 and traded sideways for the majority of the morning. We broke that low in the early afternoon before closing there at the end of the day. FOMC minutes was the major event in the evening session, as traders were looking to see how old the Fed members positions are in respect to A rate hike in December. Low inflation remains under intense scrutiny and there is still a 70% chance of a hike according to said watch futures. Several voting members noted that it was a close call as to whether to hike in September. But the committee is still divided, so the speculation shall continue.

We opened much lower today, and have now broken the 10465 support, which is potentially quite significant. China has reemerged to take some of the attention away from FOMC. It has painted the picture that global demand remains slow this has weighed heavily on equities. The SnP500 is trading near the 15/9 lows so the Dax equivalent would be close to 10350.

The daily candle is heavily bearish today after breaking support at 10 465. Price is currently trading around 10 415 and I am looking for it to retrace back to the 10465 level.

On the H4 chart, there is still no direction of trend and it still looks sideways, but breaking currently.

The H1 chart shows that we have approached the next layer of support at 10350. Price bounced from this level and I would like to see a decline down to 10260.

The 30 minute chart has a Fibonacci retracement pulled from the top of the move this morning to the low of the day which offers targets between 10450 and 10475 for a pullback.

On the m5 chart looking at the daily pivot levels we are below the daily S2, the low of the day was just above the S3, Price doesn’t often tend to trade much lower than these levels in a day.

Be aware that if price breaks above 10 465 it could find its way back up to 10 500 as it hunts stops and reaches the low of yesterday, so be patient looking for an entry.

Dax Support & Resistance

Daily R210654
Daily R110601
Daily Pivot10552
Daily S110499
Daily S210450
200 Day EMA10257

Dax Charts


1 thought on “

  1. Dear Chris,

    First of all my good wishes.

    I have been following yr site since one month on the Daily Dax forecast. I find it very helpful on my trading. I my self originated from Punjab, India an working as a business manager part time. Though, i am not a professional trader, but i need to learn more of it.

    I would like yr help, like in the Daily Dax how does one know its a sell or a buy signal ? As, i am small trader i will need yr help on this outlook on the Dax. Is there any
    other analysis i can look into to get a good trade. I will appreaciate yr kind help an assistance to me.

    I am really a fan of DAX, because its a very good benchmark an the way it moves up an down is just amazing to learn from it.

    I will be looking forward to yr reply an remain obliged,

    Thank you.

    My Wishes

    Tarlock Lamba

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