U.S. Markets open in 8 hrs 38 mins

The German index does little during the Wednesday session

Christopher Lewis

The German index went sideways during the trading session on Wednesday, as we essentially did nothing. I’m a bit surprised, because it’s counterpart across the English Channel rallied quite nicely. I think that the €12,500 level underneath should offer support, as it was previous resistance. The market should continue to go even higher, perhaps reaching towards the €12,750 level, and then eventually the €13,000 level. Ultimately, I think that when we do pullback, it is going to offer a certain amount of support and value the people will take advantage of. The €12,400 level is the bottom of the overall support level that starts at the €12,500 level, which I believe is becoming more important.

If we break down below the €12,400 level, we could drop a couple of hundred euros, but I believe that the bottom of the overall “floor” in the market is closer to the €12,000 level, and if we were to break down below there I think that could unwind the overall uptrend, sending the market down to much lower levels. Ultimately, I think that the market should continue to find value hunters underneath, and I think that adding to your position as we continue to go higher is probably the best way to trade this market over the longer term. Expect a lot of choppiness, but I do believe that overall, we will see a significant amount of upward mobility.

DAX Video 19.04.18

This article was originally posted on FX Empire

More From FXEMPIRE: