Yahoo Finance DAX Index Price Forecast November 15, 2017, Technical Analysis
The German index fell initially during the day on Tuesday, reaching down towards the €13,000 level before bouncing slightly. The market looks likely to find a lot of buyers underneath, and that we could eventually go to the upside, perhaps reaching towards the 13,500 level again. The German index of course is sensitive to the value of the EUR/USD pair, and the EUR/USD pair has been going higher. This makes German exports a bit more expensive, and that means that is likely to see a bit of negative pressure being applied to the DAX. However, this is a short-term phenomenon, because quite frankly the European Union is doing better as time goes along. I believe if we can break above the €13,500 level, the market could continue to go much higher.
If we were to break down from here, it’s not until we clear the €12,900 level that I would be concerned. When you look at the hourly chart, you can see that we have been slowing down the bearish action, and this signifies that we could be getting ready to form some type of base. If we were to break above the €13,200 level, that would confirm it for me, and have me going long at that point and reaching towards the €13,500 level again. A break above there probably has the market targeting the €13,750 level after that. Expect a lot of noise, but in the end, it’s likely that there is a lot of buying pressure underneath and we should continue to see that play itself out. Be cautious, a small position may be the best way to start out, but adding as we go higher makes sense as well, as we will eventually get clarity for the longer-term move.
DAX Video 15.11.17
This article was originally posted on FX Empire
