Live Chat

DAX consolidating ahead of Fed and the elections


DAX futures (Dec 2017 contract is FDXZ7, continuation contract is FDXc1)

 

Futures have continued their consolidation of the past few sessions as traders look towards the implications of not only the Fed tonight but also the German Federal elections on Sunday.

The small candlestick bodies are building and this reflects the indecision of the market.

  • However the support remains intact above the old pivot support around 12,500 and this retains the positive outlook.

Daily momentum indicators are positively configured even if they have understandably started to tail off through this consolidation.

Corrections on a near term basis will remain a chance to buy and another higher low in the support band 12,300/12,500 would be an ideal buying opportunity now.

The hourly chart shows consolidation in the past week between 12,463/12,604 but with the hourly RSI remaining above 40 and MACD lines still above neutral the outlook is still positive.

  • Above 12,604 opens the key July high at 12,655.

 


Ready to start trading?

Open an Account Try Demo

  • Archive

  • Topics

  • Videos

Research Risk Warning

At Hantec Markets Ltd we provide an execution only service. Any opinions expressed by analyst Richard Perry should not be construed as investment advice or an investment recommendation. This report does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. Forex and CFDs are leveraged products which can result in losses greater than your initial deposit. Therefore you should only speculate with money that you can afford to lose. Please ensure you fully understand the risks involved, seeking independent advice if necessary prior to entering into such transactions.