As we begin the trading week, we want to have a look at the DAX30 CFD. After the FED rate decision last Wednesday and the first hours of trading on Thursday, it looked as if the German index could easily stabilise above the psychological relevant level around 12,000 points.
This changed dramatically after US president Trump announced a new round of tariffs late last Thursday. Among them were 10% new tariffs on Chinese goods beginning September, pushing Equities aggressively lower and levelling the path for the DAX30 CFD to close the week below 12,000 points.
And with a thin economic docket today and the rest of the week, the approach seems to clearly be 'sell the bounce' as the German index is vulnerable to further losses, especially if the region around 11,900 points cannot be held.
A break below is also going hand in hand with a break back below the EMA(200) on a daily time frame, switching the overall mode to bearish again, and making it likely that bigger market participants start to unwind their long-positions in Equities.
Below 11,900 points the next target on the downside can be found around the June lows around 11,600 points.
Ready to take your trading to the next level? Find out how in Admiral Markets’ new webinar series Trading Spotlight, where our trading experts will be discussing risk management, trading psychology, and their top strategies for trading the world’s most popular markets - admiralmarkets.com/education/webinars/trading-spotlight-1
Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 84% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
This changed dramatically after US president Trump announced a new round of tariffs late last Thursday. Among them were 10% new tariffs on Chinese goods beginning September, pushing Equities aggressively lower and levelling the path for the DAX30 CFD to close the week below 12,000 points.
And with a thin economic docket today and the rest of the week, the approach seems to clearly be 'sell the bounce' as the German index is vulnerable to further losses, especially if the region around 11,900 points cannot be held.
A break below is also going hand in hand with a break back below the EMA(200) on a daily time frame, switching the overall mode to bearish again, and making it likely that bigger market participants start to unwind their long-positions in Equities.
Below 11,900 points the next target on the downside can be found around the June lows around 11,600 points.
Ready to take your trading to the next level? Find out how in Admiral Markets’ new webinar series Trading Spotlight, where our trading experts will be discussing risk management, trading psychology, and their top strategies for trading the world’s most popular markets - admiralmarkets.com/education/webinars/trading-spotlight-1
Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 84% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.