Good morning traders, it’s Monday the 10th of August and time for today’s 10-8-2020 German DAX 30 analysis. The corona crisis almost brought the global mergers & acquisitions business to a standstill. But now the market is experiencing a rapid comeback, which is generally good for equity market buoyancy, especially after the recent bearish trend. For now, the German DAX bounce turns neutral and we are seeing consolidation. See below for more details.
DAX 30 Review From Last Session
During the last session, we saw the DAX 30 hit a session high of 12706 and a session low of 12514 giving us a range of 192 points compared to the average daily range of 247. At the close of play last session, the market closed at 12706 which was 650 points above the 200EMA and 289 points above the 50EMA.
DAX Outlook and Bias
The DAX is currently Neutral.
The German DAX 30 index is currently Neutral with no specific trend. In fact we are pretty much range bound between 12514 and 12802, so we can either look to fade the two extremes assuming the range trading continues, or wait for a breakout above 12802 or below 12514. The issue with a netural market, is that we can’t really use the DAX trading strategy with much positive expected value (+EV).
DAX 30 Levels To Watch
As for the key levels to watch today, watch out for the previous session Point of Control (POC) at 12585 and the previous session Volume Weighted Average Price (VWAP) at 12619. The value area high (VAH) is currently 12663 and the value area low (VAL) is currently 12570.
|Stochastic||K: 67 and D: 62|
|Point of Control (POC)||12585|
|Value Area High (VAH)||12663|
|Value Area Low (VAL)||12570|
|The DAX Pivot||12642|
|The DAX R2||12835|
|The DAX S2||12450|
|Daily 5 EMA||12680|
|Daily 8 EMA||12680|
|Daily 50 EMA||12417|
|Daily 200 EMA||12056|
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As for my index trading; during the last trading session I took a total of 3 trades (2 DAX trades and 1 FTSE trade). Breaking down my DAX trades, 1 was from the DAX trading strategy (DTI) and 1 was from the regular morning DAX signal. Breaking down my FTSE trade, 1 was from the FTSE trading strategy (Using the DAX DTI) and 0 were from the regular morning FTSE signal. Overall, I hit 0 winners, 3 losers, and 0 break-even trades. This gave me a total profit of -3% for the day.
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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