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DAX Index Daily Fundamental Forecast – October 13, 2017

By:
Colin First
Published: Oct 13, 2017, 08:34 UTC

It is turning out to a tiring period of consolidation in the DAX index over the last few days. Tiring due to the fact that the breakout through the 13000

DAX Friday

It is turning out to a tiring period of consolidation in the DAX index over the last few days. Tiring due to the fact that the breakout through the 13000 region seems to be very near but yet so far. The bulls, for some strange reason, are finding it difficult to push through the 13000 region and they have been trying all week to do this.

DAX Continues to Bore the Markets

While the move from 12500 towards the 13000 region was a breeze and quickly done, the situation has been difficult for the bulls ever since. On the other hand, the global stock indices continue to move higher during this period and the DAX index is finding it difficult to join this uptrend. We believe that it is still only a matter of time before the index breaks through the 13000 region and once there is a clear break, then we should be able to see the index move much higher in a quick manner.

DAX Hourly
DAX Hourly

The uncertainty over the political issues in Germany also seem to be getting sorted out in a slow and steady manner and with the data also being along expected lines, we believe that there is no reason for the index to struggle to break through at this point of time. Also, the 13000 region has only a psychological barrier for now and this adds credence to our theory that once the region is broken through, the index should move higher.

Looking ahead to the rest of the day, we do not have any major economic news from Germany and so we can safely expect some more consolidation and ranging in the DAX for the rest of the day. The only important piece of data is the inflation data that is scheduled to be released from the US and that is unlikely to have too much of an impact on the DAX. Now that we are drawing this week to a close, we are unlikely to see too much of a breakout for today and we look forward to the next week which will hopefully bring in the breakout that we expect.

About the Author

Colin specializes in developing trading strategies and analyze financial instruments both technically and fundamentally. Colin holds a Bachelor of Engineering From Milwaukee University.

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