Good morning traders, it’s Thursday the 16th of July and time for today’s 16-07-2020 German DAX 30 analysis. I mentioned yesterday the the DAX would be looking for 13k and we pretty much saw exactly that as the DAX reaches highest level since February.
DAX 30 Review From Last Session
During the last session, we saw the DAX 30 find a session high of 12994 and a session low of 12764 giving us a range of 230 points compared to the average daily range of 267. At the close of play last session, the market closed at 12908 which was 986 points above the 200EMA and 824 points above the 50EMA.
What Is The DAX 30 Doing Today?
The DAX is currently Bullish.
The DAX Index index is currently showing a progressive series of higher highs and higher lows. The trend defining level is currently 12521, so the market remains bullish above that level. In order for the market to remain bullish, we need to take out 12994. I will again be looking to use the DAX trading strategy to provide some useful setups today.. It’s worth mentioning that the daily DAX RSI reading is currently 71, which is pretty overbought. Although we know that momentum is clearly bullish right now, the buying pressure now has a much higher likelihood of running out of steam. We can still get long, but perhaps we should be cautious entering longs. We have a classical situation on the daily chart whereby the 5EMA is above the 8EMA, the 8EMA is also above the 50EMA and finally the 50EMA is above the 200EMA. That’s a very bullish market, the first sign of a turn could be when the 5EMA breaks below the 8EMA.
Important DAX 30 Levels
Moving over to the key levels to watch today, watch out for the previous session Point of Control (POC) at 12905 and the previous session Volume Weighted Average Price (VWAP) at 12887. The value area high (VAH) is currently 12955 and the value area low (VAL) is currently 12851.