DAX is one of the most popular indexes in the world. It is listed on the Frankfurt Stock Exchange. Virtually every day there is very high volatility which gives many trading opportunities.
Session Summary 12.07.2017
Investors’ attention focused on Janet Yellen’s speech to the House House of Representatives on Wednesday. Yellen presented a six-month report on monetary policy. She said the Fed is not considering raising the inflation target above 2% and is focused on achieving the target, it means 2%. The head of the Fed also said that the strengthening labor market would cause inflationary pressures. In addition, it stated that interest rate hikes should be gradual, and that the reduction in the balance sheet should begin shortly, but a specific date did not fall. Yellen did not surprise investors and the stock markets in Europe and the United States reacted with strong growth. Today’s next testimony of Janet Yellen, this time before the Senate. However, there is nothing to expect that the Yellen will say something new. In turn, data on German inflation, which turned out to be in line with forecasts (1.6% YoY)
Today morning Nikkei ended the day with 0.01%. Yesterday the S&P 500 closed the session in a gain of 0.73%. The biggest increases were observed in Frankfurt. DAX ended the day with a score of 1.52%. The German index set a new record around 12951 points. However, he has not been able to stay on this level for too long. After a strong correction, the DAX index managed to return above the resistance level at around 12600 points, which opened the way to 12800 points.
DAX index after the opening of the cash market index rebounded from 12600 points. Exit over yesterday’s maxima near 12660 points. It will open the way to R1 at around 12700 points. In turn, descent below 12600 points it can bring the index to around S1 12510 points.
16:00 – Fed Chair Yellen Testifies