Yahoo Finance DAX Index Price Forecast February 22, 2018, Technical Analysis
If your trading the DAX over the last couple of days, you’ve had very little to do beyond scalp back and forth. However, I think that the longer-term momentum still continues to the upside, so I like the idea of buying this market on dips as they represent value. I believe that the €12,000 level underneath is massively supportive, so it’s not until we break down below there that I become concerned. I recognize that we have recently sold off rather drastically, so a little bit of sideways action is probably a good thing as it builds confidence in the market.
If the markets become impulsive, especially to the upside, I am more than willing to get involved. I think a break above the €12,750 level census market looking towards the €13,000 level, and perhaps down the road to the €15,000 level which is my longer-term target. I recognize the €12,000 level underneath as the “floor” in the uptrend, with break below that level be very destructive. Not breakdown, I would anticipate that the market could go as low as €10,000 rather quickly. This would be a continuation of the vicious selloff that we had seen, something that I am not expecting to see happen. However, you have to keep both sides of the equation with an open mind. Until we get some type of momentum, it’s probably going to be very difficult to trade this market, but I certainly have an upward bias going forward, as it has been the longer-term attitude of the DAX.
DAX Video 22.02.18
This article was originally posted on FX Empire
