DAX is one of the most popular indexes in the world. It is listed on Frankfurt Stock Exchange. Virtually every day there is very high volatility which gives many trading opportunities.
Session Summary 26.05.2017
Last week stock markets ended in mixed mood. The S&P 500 has set new maxima, as we wrote on Friday. Oil strongly surprised, losing despite the fact that OPEC extended production cuts for next 9 months. Europe, on the other hand, could not set itself a direction in this chaos.
This week investors’ attention will focus on inflation data from Eurozone, Germany and US and data from the US labor market. NFP data will be observed in light of the Fed’s announcement of reduction in the balance sheet, meaning no more reinvesting in Treasury securities and MBS mortgages. For the time being market has received this information calmly and even positively. Investors liked Federal Reserve’s clear information on this issue.
Today we can have rather boring sessions, because of closed stock markets in the UK (Bank Holiday), USA (Memorial Day) and in China (Dragon Boat Festival).
DAX Index is still above 12600 points, which is a bullish sign and next level is historic maxima around 12800 points. On daily chart we can notice a hammer formation, which perfectly stopped at 12600 points.
DAX Intraday
DAX index rebounded from pivot point at around 12580 pts. Breaking level 12600 pts will allow index to move towards R1 near 12635 points. In turn, falling below pivot point will open the way to S1 at around 12550 points.
