Good morning traders, it’s Wednesday the 12th of August and time for today’s 12-8-2020 German DAX 30 analysis. During the last session, the DAX rejects 13,000 after a strong rally. We saw a session high of 13049 and a session low of 12733 giving us a range of 316 points compared to the average daily range of 256.The rally ended early into the session, before lunchtime, and then returned back to VWAP by mid-afternoon. At the close of play last session, the market closed at 12830 which was 757 points above the 200EMA and 376 points above the 50EMA. The UK enters into a recession for the first time in a decade, which suggests the corona hangover is finally official. Once the government handouts stop we will see the true cost, but for now we continue to watch the price as normal.
What Is The DAX Doing Today?
The DAX is currently Bullish.
The DAX30 index is currently showing a progressive series of higher highs and higher lows. The trend defining level is currently 12514, so the market remains bullish above that level. In order for the market to remain bullish, we need to take out 13049. I will again be looking to use the DAX trading strategy to provide some useful setups today.. . 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.
DAX 30 Levels To Watch
As for the key levels to watch today, watch out for the previous session Point of Control (POC) at 12944 and the previous session Volume Weighted Average Price (VWAP) at 12931. The value area high (VAH) is currently 13026 and the value area low (VAL) is currently 12899.
DAX Technical Indicators
| Indicator | Value |
|---|---|
| RSI | 59 |
| Stochastic | K: 88 and D: 77 |
| MACD OSMA | -7 |
| Point of Control (POC) | 12944 |
| Value Area High (VAH) | 13026 |
| Value Area Low (VAL) | 12899 |
| The DAX Pivot | 12870 |
| The DAX R2 | 13186 |
| The DAX S2 | 12554 |
| Daily 5 EMA | 12806 |
| Daily 8 EMA | 12768 |
| Daily 50 EMA | 12454 |
| Daily 200 EMA | 12073 |
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As for my index trading; during the last trading session I took a total of 2 trades, so it was a pretty quiet session (1 DAX trade and 1 FTSE trade). Breaking down my DAX trade, 0 were from the DAX trading strategy (DTI) and 1 was from the regular morning DAX signal. Breaking down my FTSE trade, 0 were from the FTSE trading strategy (Using the DAX DTI) and 1 was from the regular morning FTSE signal. Overall, I hit 0 winners, 1 loser, and 0 break-even trades. This gave me a total profit of -1.4% for the day (including a trade I closed around 8pm).
To keep a track of the trading results, you can read the dax trading spreadsheet. In order to get access to the signals and to the strategy, you will need to be a member of the site. Find out more about membership.
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