On the German DAX, 13,000 is a key target this week. At the Eurex open we saw an immediate rally followed by rejection and it’s likely that this level will be tested again this week.

DAX Analysis – Daily Chart

The DAX is bullish and the trend-defining level is 12205. There is a consecutive series of higher highs and higher lows which began around March. In order for the trend to continue the market needs to hold above 12205 and break above 13463. The swings are losing momentum in terms of points gained, but the trend remains in place for now. A break below 12205 will end the long-term trend. We have started forming a low (from the end of September), but this is not a confirmed low until we break abot 13463.

DAX Analysis – 4 Hour Chart

Following the swing markers from the base of the pitchfork, we have a higher low and a higher high so the trend-defining level is 12592. We have tagged the pitchfork median line and reacted to it, so it’s not unusual to see the market pullback and find value at lower levels. The trend will remain bullish if the market holds 12592, but it must break 13174.

DAX Analysis – Market Profile (TPO)

This morning’s auction saw us rally up to the naked VPOC from Wednesday. The next target would be the 13210 naked VPOC from the beginning of September. There are a couple of naked VPOCs from last week which would act as downside targets, see the chart below.

DAX 30 Levels To Watch

Looking at the key levels to watch today, watch out for the previous session Point of Control (POC) at 12772 and the previous session Volume Weighted Average Price (VWAP) at 12830. The value area high (VAH) is currently 12896 and the value area low (VAL) is currently 12704.

DAX Technical Indicators

Economic Calendar

To keep up with the economic calendar and the latest price action, click this link to open up the DAX chart. Here are the most important announcements for this week:

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Let’s just jump to the Key DAX Levels for 16-09-2020 in a moment. There was a cautiously optimistic mood on the DAX yesterday after good economic data. The economic expectations of German financial experts have surprisingly brightened. According to the Mannheim Center for European Economic Research (ZEW), the indicator it collected rose in September. Analysts, on the other hand, had expected a decline on average.

That’s pretty much all there is to report on, not a great deal to say today; everyone is waiting for the Fed decision. I personally find it a bit of a non-event; I don’t care too much for the Fed rate and I don’t care much for trading the news. Today is another one of those days that only really starts in the evening. Everyone gets so excited for the Fed announcement and more often than not are disappointed about the outcome.

Key Levels for 16-09-2020

Looking at the key levels to watch today, watch out for the previous session Point of Control (POC) at 13217 and the previous session Volume Weighted Average Price (VWAP) at 13210. The value area high (VAH) is currently 13248 and the value area low (VAL) is currently 13198.

DAX Technical Indicators

DAX 30 Index Outlook

The DAX is currently Bullish.

The DAX index is currently showing a progressive series of higher highs and higher lows. The trend defining level is currently 13095, so the market remains bullish above that level. In order for the market to remain bullish, we need to take out 13339.

DAX Trading Strategy

The main highlight yesterday for me was a nice long on FTSE from the daily signals that I send to the member’s channel around 9am UK time. The long ran to target (which had a 3:1 reward ratio). This comfortably covered the previous loss I made on a FTSE short earlier in the session. I took a total of 5 trades (3 DAX trades and 2 FTSE trades). Breaking down my DAX trades, 1 was from the DAX trading strategy (DTI) and 2 were from the regular morning DAX signal. Both my FTSE trades came from the regular morning FTSE signal. Overall, I hit 1 winner, 3 losers, and closed one trade early.