DAX Index Forecast – DAX Consolidates Near Lows

The index has been spending time near the lows
Colin First
DAX Thursday
DAX Thursday

The DAX is back to the lows of its range over the last couple of days after a brief bullish trip above the 13000 region over the last week or so. That move had inspired hopes that the bulls would be in control of the index going forward and help to push it higher in due course of time but that was not to be.

DAX Still Under Pressure

The main reason for the index to fall has been the panic and uncertainty that has gripped the markets all around the world due to the threat of a trader war breaking out between China and the US and the Eurozone is also expected to join the trade war if and when that happens. There have been threats and couner threats and there has been some follow up action as well and this had led to the belief that tough measures are on the way and the market knows that it would not be good for anyone.

DAX hourly

To the outsider, the threat of a trade war does not make sense as it is unlikely to have a good outcome for any of the major economies but we live in such times when logic does not hold much water. So it would not be a surprise if the trade war escalates and the index has been correcting lower mainly due to that reason though the data from the Eurozone has not set the markets on fire as yet as well. The DAX is back towards the 12600 region over the last couple of days and it continues to consolidate in the lows of the range waiting for the next direction.

Looking ahead to the rest of the day, we do not have any major news or data from the Eurozone or Germany and so we can safely expect the consolidation and ranging to continue for the day. We have the German BUBA president speaking but we doubt whether we would hear anything from him that is likely o impact the DAX index just yet.


Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.