Key Technical Bullets:
• Has been trading in an Inverted Head & Shoulder throughout 2014
• Found support in mid-March into the 38.2% retracement of advance
• Broke above daily Ichimoku Cloud top at 9405 & gapped higher
• Closed the gap higher earlier today
• This was coincided by finding support into the 100-day sma
• Inverted H&S neckline resides near 9700
• Distance between the Head and the neckline is 800pts
• Watch for potential daily RSI confirmation/rejection at corresponding resistance
• If validated, Inverted Head & Shoulder measured move objective is 10500
Should the DAX close above 9700, next levels to watch: 9794 (2014 High), 10000 (psychological & barrier/option related) & 10500 (Inverted H&S measured move projection).
Notable data/events which may influence the DAX next week:
- Tuesday – ECB M3 money supply, EU Apr. Consumer Confidence (f), German Apr. CPI (p)
- Wednesday – German Mar. Retail Sales, EU April CPI (a)
- Thursday – German Bank Holiday
- Friday – EU Apr. Manufacturing PMI, EU Mar. Unemployment rate
Chart Source: Bloomberg, FOREX.com
Recommended Content
Editors’ Picks
EUR/USD holds gains above 1.0700, as key US data loom
EUR/USD holds gains above 1.0700 in the European session on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
GBP/USD extends recovery above 1.2500, awaits US GDP data
GBP/USD is catching a fresh bid wave, rising above 1.2500 in European trading on Thursday. The US Dollar resumes its corrective downside, as traders resort to repositioning ahead of the high-impact US advance GDP data for the first quarter.
Gold price edges higher amid weaker USD and softer risk tone, focus remains on US GDP
Gold price (XAU/USD) attracts some dip-buying in the vicinity of the $2,300 mark on Thursday and for now, seems to have snapped a three-day losing streak, though the upside potential seems limited.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
US Q1 GDP Preview: Economic growth set to remain firm in, albeit easing from Q4
The United States Gross Domestic Product (GDP) is seen expanding at an annualized rate of 2.5% in Q1. The current resilience of the US economy bolsters the case for a soft landing.