Australia Markets open in 3 hrs 12 mins

DAX Index Daily Price Forecast – DAX to Continue Bullish Price Action

Colin First

Germany equities were higher at the close on Thursday, as gains in the Technology, Transportation & Logistics and Pharmaceuticals & Healthcare sectors propelled shares higher. At the close in Frankfurt, the DAX added 0.17%, while the MDAX index added 0.56%, and the TecDAX index gained 1.04%. Advancing stocks outnumbered falling ones by 419 to 253 and 27 ended unchanged on the Frankfurt Stock Exchange.         The DAX volatility index, which measures the implied volatility of DAX options, was down 8.37% to 20.59. Major European equity markets saw positive movement yesterday over increased risk appetite among investors but UK’s FTSE 100 & France’s CAC 40 closed in red. However overall market sentiment remains positive across globe and DAX managed positive price action despite futures trading in red during early German market hours.

Investors Stock Up on Asian Assets Over Hopes of Possible Trade Deal Between China & U.S.

Asian shares jumped on Friday after a phone call between the U.S. and Chinese presidents raised hopes of a thaw in trade tensions, but gains were checked by signs of slowing global growth and a warning from tech giant Apple Inc on holiday sales. Chinese equity markets saw major indices go up by 2%-3% over news that Chinese President Xi Jin ping promised more support for private firms. The cheerier mood in Asian trade followed a rise in U.S. shares overnight, with the Dow Jones Industrial Average and the S&P 500 each gaining 1.06% while the Nasdaq Composite rallied 1.75%. A combination of bargain-hunting following steep losses in equities last month and some strong corporate earnings have helped power wall street bounce which is major factor that affected price action across key global markets.

{alt}

US President had commented earlier this week that China was not ready to make a deal yet and he would impose more tariffs on Chinese goods unless he and Xi had productive talks. However latest news in market is that both are optimistic about a trade deal and they are likely to discuss about same during their meet in upcoming G-20 summit. A trade deal would be positive news for equity markets across globe as it was main factor that weighed down global equities in recent past, however investors are hopeful about a trade deal and have began stocking up on emerging market and Asia assets. DAX futures was trading positive in Asian markets ahead Frankfurt market opening with over 1.57% increase in value indicating positive opening for German equities. DAX is expected to open positive and trade with bullish bias across the day over strong support from local and international cues.

This article was originally posted on FX Empire

More From FXEMPIRE: