DAX Price Forecast January 29, 2018, Technical Analysis

The German index rallied slightly during the trading session on Friday, breaking 2 slight profit later in the day. I think that the market will eventually try to break out and go much higher, after several days of negativity. Ultimately, I anticipate that we will not only go towards the €13,600 level above, which of course was the most recent high, but we will continue to go even further. The markets continue to be very noisy, but I think given enough time we should continue to go higher, as the €13,200 level should offer significant support, with the absolute “floor” being closer to the €13,000 level underneath.

The EUR/USD pair has rallied rather significantly lately, and that of course has put downward pressure on the DAX, as it makes German exports expensive. I believe that the market should continue to be very noisy, but I believe that the general upward proclivity of the DAX should reassert itself as longer-term has been so bullish. I think that if we were to break down below the €13,000 level, that could be a bit negative, but at the end of the day very unlikely. If it did happen, I suspect that we would go looking towards the €12,750 level. I still have a longer-term target of €15,000 going forward, and although it will probably take the better part of the year, I anticipate that by the end of 2018, we will have touched that level above.

DAX Video 29.01.18