Sunday, September 16, 2018

DAX30 - 17 September 2018


Fundamental Highlights

The DAX gained 35.4 points on Friday to close at 12,125.5 as hopes for another round of U.S.- China trade talks emerged. Europe's automakers and miners were among the top performing sectors as market sentiment was boosted on signs that trade tensions could be easing. This sentiment was however short-lived as Trump called for tariffs of $200bn worth of Chinese goods to be rolled out ahead of any resumption of talks, with a senior Chinese advisory official replying today that China would not negotiate "with a gun pointed to its head". In economic news, we have the Eurozone CPI (YoY) (Aug) data release at 09:00 GMT. Also, we have two members of the ECB speaking today; Peter Praet will be speaking at 11:15 GMT and Yves Mersch at 13:00 GMT.

Technical Analysis

DAX upside momentum is slowing down as MACD and RSI indicators are showing a change in sentiment on the hourly timeframe. A retest of our support level of 12,035.6 will confirm market weakness, while an hourly close above 12,106.7 will push prices higher.

Support: 11,934.8 11, 895.6
Resistance: 12,106.7 12,161.5

Chart (H1)