European earnings have started to come out better than expectations. Alongside this, we have had some positive news on the US/China trade front. As such, we still like the upside in Dax. Look to get long around Friday's High.
Here is my prefered Wave Count for the DAX 1H.
Risk Off! After Trump's addition of tariffs on Friday, China has gone on the offensive by asking state buyers to halt US agricultural imports. We are sure to receive a response from the US soon enough. We expect further downside to equities. Sell on a pullback to Friday's low.
Equities lost ground last week, as earnings reports from major US banks and other large US companies didn’t inspire a lot of confidence. This week sees some of the FAANG companies report – with Facebook, Amazon and Alphabet in the lineup of earnings reports. Bellwether Caterpillar also reports so the forward guidance from these companies will shape ...
Asian equity markets track declines in the US, earnings and trade concerns on the radar. Japanese equities underperform amid continued uncertainty related to Korea/Japan relations; Earnings-related concerns weigh on Canon Inc and AGC Netflix declines over 11% following earning/guidance We like continued downside today following this risk-off sentiment....
Those of you who drew the resistance line at 12 433 haven’t done so in vain. Look at this luxurious reaction from that level. After a nice short move from the 12 433 level, Dax eventually found some buyers around Wednesday’s close. Today, the price opens with a significant short gap. Important zones Resistance: 12337, 12373 Support: 12219, 12191 Statistics...
By looking at the past two sessions, it is very clear that the waiting for FOMC does indeed affect the Dax. Yesterday’s session only had a range of 70 points and most of the time, we traded sideways, slightly to the downside. The session ended at the price 13 312. Important zones Resistance: 12 433 Support: 12 281 Statistics for today 25 % gap...
Yesterday’s session can be characterized as a very lazy one. Dax first took a slight climb towards our resistance at 12 117 where we found some sellers. Following was a 55 points move down. That’s about it, nothing more interesting from the price action perspective as the price was ranging lazily for the rest of the session duration. The overall intra-day range...
US equities slid and sovereign bonds surged as investors feared President Trump's shock move to slap tariffs on Mexico risked tipping the United States, and maybe the whole world, into recession. The risk-off move has been strong during Asia and we like Dax shorts as a way to play this theme into Europe. Today, since we already pushed through the target, we...
US equities slid and sovereign bonds surged as investors feared President Trump's shock move to slap tariffs on Mexico risked tipping the United States, and maybe the whole world, into recession. We like the odds of selling Dax this morning on a continuation break, in line with the risk-off sentiment.
The US/China trade debate has calmed for the time being. The US may scale back Huawei curbs, delayed the decision on foreign auto tariffs and exempted Canada and Mexico from steel/aluminum tariffs. For the moment, Dax is our favoured index. It is pushing higher with momentum and we favour continuation breakouts.
For a change, yesterday’s session was in the hands of buyers. We first found some sellers at the resistance zone of 11 956 and they pushed the Dax some 50 points lower before buyers stepped in. Dax is opening with an ascending gap today. Important zones Resistance: 12 139 Support: 11 946 Statistics for today Detailed statistics in the Statistical...
Welcome to a new trading week. After the initial chop on Friday, the price descended towards the support level at 12036, which was well respected on the first attempt. During the second retest, the level was slightly broken. Following was the entry of buyers who took the price all the way to retest the resistance of 12 194 where Dax closed the week. Over the...
Range:12285 -12380 Support 12285 Resistance 12380 Trade Opportunity 1. Short Trade for sell on resistance on smaller time frame 2. Big break of 12380, wait for retrace
We are not looking for more upside today. Short-term support may come under pressure.
Short-term support and continuation levels highlighted.
Nice moves in Indices but beware of earnings from US banks today: JPMorgan and Wells Fargo will be watched closely for signs of economic slowdown or recession.