DAX Index Price Forecast – DAX Turns Choppy

The DAX index spent much of the day yesterday trading in a choppy manner with no specific direction as the index moved up in a slow and steady manner and then moved down as well. The result of all this moves was that the index did not move much in any specific direction making it difficult for the investors and the long term traders to find the final direction.

DAX Turns Weak

It is unlikely that the index would strengthen any further at this point of time as the move from the lows of the range seems to have lost its momentum over the last couple of days and this is going to have an effect in the short term. The move seems to have lost steam as we approached the 13000 region in the DAX and this is going to stall the move for now. The index now has to move lower and collect some more buyers at the lows of the range before it can begin its move back up again and this is going to involve correction and consolidation.

This is what we have been seeing over the last couple of days though the correction has been minimal. The global stock indices have been steady yesterday but we saw that the indices in the Asian stock markets suffered a setback in trading today and this is likely to have an impact on the DAX when it opens for the day today, a bit later. After the initial moves, it is likely to settle down and then wait for the US stock markets to open.

If the US stock indices continue to move higher and basically continue the upmove from yesterday, then we could see a reprieve for the bulls in the DAX and then we should see the index move higher in a slow and steady manner from there for the rest of the day , similar to the price action that we saw yesterday.