DAX forecasts: pursues the same consolidation model
The DAX moved back and forth during Thursday’s trading session as we continue to see a lot of sideways volatility. That being said, the market is likely to continue to see a lot of questions on the DAX itself, and at this point the 50-day EMA below continues to offer support. Also, we also have the 15,000 level coming into the picture, so I think that with enough time the buyers will come back. We have been in a long term uptrend, and there is no reason to believe that has changed based on recent measurements.
A pullback from here just attracts more valuable hunters, and I think it’s only a matter of time before buyers push towards the 15,500 level. Below, even if we were to drop below the 50-day EMA we are likely to look towards the 14,500 level. This is a market that will obviously evolve with the general attitude of European equities, and with the return of the ‘reopening of trade’, I think Germany will continue to see entries due to the fact that Germany is a huge engine of the EU. economy in general.
At this point the market is trying to keep pushing higher, but at this point the market will continue to see a lot of entry as Germany is the first place people put money to work when they think of Europe. As for a target, I still believe the 16,000 level will be targeted, but it will take a long time to get there. There is a lot of noise just above the current trading which shows it takes a minute to get there, but I definitely wouldn’t be a seller.
If we were to fall below the 14,500 level, then I expect the market to descend to the 14,000 grip, which of course is also where the 200-day EMA is heading, and so it is likely that this would be the ” floor in market ”for the general trend. All things being equal, it’s a market that I think continues to be more or less a ‘buy-on-dips’ scenario, but Friday could be a bit quiet as everyone waits for the US jobs numbers. .