Yahoo Finance DAX rally significantly during the trading session on Friday
The German index has gone back and forth during the session on Friday, with an upward proclivity. As I record this video we are up about 0.41%, which suggests that we are ready to go even higher. We could recapture a lot of the losses that we had previously seen and allow this market to go to the €12,900 level. Overall, I think that the market will try to break above there, but it is going to take a certain amount of momentum building.
If the ECB continues to show signs of stepping away from quantitative easing that could put a bit of a kink in the play to the upside, but poor German economic numbers that came out during the day suggests that perhaps they may have to be very cautious about raising range, and of course stock traders love that. I think that the DAX could ultimately be an a “win-win” situation, as if the ECB feels that the economy is getting stronger and the European Union, the stock traders could come in and pick up the DAX as it is the first place money flows to when people are trying to invest in the European Union. Overall, I don’t have any interest in shorting this market, and I believe that the €12,500 level underneath should be massive support. Longer-term, I think that the market should continue to go much higher. I still have a longer-term target of €15,000, but I think it’s going to take quite some time to get there.
DAX Video 11.06.18
This article was originally posted on FX Empire
