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The German markets initially went sideways during the session on Friday but continues to show support at the €12,500 level. This is an area that has been resistive in the past, and supportive last week. The market looks likely to continue going higher, perhaps reaching towards the €1750 level which is a barrier on the longer-term charts. If we can break above that level, the market continues to go towards the €13,000 level. I think short-term pullbacks continue to be buying opportunities, and now that we have seen the market turned around at the €12,500 level, it’s likely that we will continue to see buyers jump into this market.
I like buying dips, and I think that the €12,500 level should be support level. Ultimately, if we did breakdown below that level, it’s likely that the €12,300 level will be support. If we break down below there, then we go down to the €12,000 level but I believe that would have a lot to do with some type of global “risk off” move, which of course would affect stock markets everywhere. The DAX will be immune to that, but it looks as if buyers are willing to come in and pick up stocks as global markets react to the positivity in America. On a break below the €12,000 level, something that I don’t see happening, that would in the uptrend in general. Expect a lot of volatility, so start out cautiously and add as you become profitable. Ultimately, I think we’re going to the €13,000 level.
DAX Video 30.04.18
This article was originally posted on FX Empire