Yahoo Finance DAX Index Daily Fundamental Forecast – February 21, 2018
The DAX index continues to trade within a range as it has been consolidating its losses over the last few days. The index has been suffering from the large losses that it had suffered a couple of weeks back and though there has been a rebound in the index since then, it has not been able to generate a lot of momentum.
DAX Continues in Steady Manner
This lack of momentum in the rebound has led to doubts on whether the recovery would continue and the spectre of the end of the QE has also been hanging on the DAX and this has led to a lot of uncertainty and confusion among the investors on whether this is the right time for them to invest and reap the dividends. It has been a struggle over the last few days as the price action has been choppy and the traders have not been able to come to a conclusion on which is the way forward.
Even the global indices have been struggling a bit to decide their direction for the short and medium term as well as they come to terms with the uncertainty. There has not been any specific fundamental or economic change in any of the major economies but just the talk that the stock markets are overheated and do not justify the bullish run that they have been undergoing over the past few months, has been enough to dent the confidence of the investors and the result is the fall and the consolidation that we are seeing now.
Looking ahead to the rest of the day, we do not have any major economic news from Germany or the Eurozone and so we can expect some steady opening to the DAX which should continue for most of the day. Late in the US session, we would be seeing the release of the FOMC minutes which should bring in a bit more volatility in the global markets.
This article was originally posted on FX Empire
