I am neutral and believe the DAX is on a “knife-edge” as to whether, in the coming trading days, it could still fall below the 12100-point mark. The bearish case looks at Trump. If Trump continues to show the EU in the tariff dispute the hard edge, the pressure on the shares in the German automotive sector should tighten, which also pull down the Dax. Customs worries have been weighing on the automotive industry across Europe for quite some time. The bullish case 

The mood of investors in the German stock market is still somewhat clouded in the face of international trade disputes and currency turbulence in emerging markets. The US took a market holiday meaning afternoon trading conditions were calm and boring. Due to the US holiday, there were hardly any dynamic movements, and it remains dangerous for the German benchmark index.

We also have the threat of increasing political uncertainty in Turkey and Italy, where the draft budget is due at the end of September. “The government in Italy will have to implement what it has promised its constituents after the summer break, and new debt could become a topic of dispute between Rome and Brussels. 

04-09-2018 Dax Video

04-09-2018 Dax Key Levels

 

04-09-2018 Dax Charts