DAX Price Forecast August 9, 2017, Technical Analysis

The German index went sideways initially during the day but then dipped to find support near the €12,200 level. By doing so, the market found plenty of buyers to push this market towards the €12,320 level. A break above there should send this market to the upside, perhaps reaching towards the €12,500 level after that. This is a market that is trying to form some type of basement below, and I think that it’s only a matter of time before we see buyers jump in as the EUR/USD is also getting pummeled. This makes German exports cheap, thereby making the DAX attractive.

Buying dips

I continue to buy dips in this market, I think it’s only a matter of time before this dips offer an opportunity to take advantage of what I believe is a continuation of the longer-term trend. Ultimately, I think that we will break above the €12,500 level, and then reach towards the €13,000 level over the longer term. Ultimately, I think that the volatility should continue to offer plenty of opportunities, and for those who are patient enough, there should be plenty of trades ahead. I think that short-term charts are probably best, and I believe that small positions will probably continue to be the way to play. We will continue to build up our position to the upside, and take quite a bit of time to build up a massive amount of position size so that we can maximize profits to the upside. Ultimately, this is a market that should find some noise, but that noise is a nice buying opportunity. The volatility will pick up every time the EUR/USD pair slams around and causes quite a bit of issue and the DAX and other European indices.

DAX Video 09.8.17