DAX Price Forecast: German Index Rallies to Kick Off Week

from Daily Forex. This is Christopher Lewis taking a look at the DAX. The DAX has risen a bit here on Monday. Although it did give back some of its early gains, the reality is the German index is a little bit bullish for the day as traders are trying to continue to rebound from the 200day EMA. The 200 day EMA sits just above the psychologically important €25,000 euros level. There is a major demand zone between €25,000 and €24,750. So, we'll see how that plays out, but technically speaking at least, it has been interesting. Energy relief early in the day helped sentiment, but oil prices have turned around. This initially had benefited from cheaper oil following Trump's Russian diesel supply announcement between the United States and Russia and claims of an energy ceasefire in the Middle East. That being said, Saudi attacks and tanker security concerns have regained attention since then and we did see a little bit of a drag on the DAX. Financials and major industrial and technology constituents are supporting the recovery for the day, although we'll have to see whether or not the rally can continue. Earnings expectations are helping equities withstand macro pressure. So that helps at least in the short term. The weekly outlook identifies corporate guidance, particularly AI investment products, as the next test of any recovery. Technically speaking, we are in an area of interest. It'll be interesting to see how that plays out and whether or not it continues to hold. The biggest index movers were SAP, Seammens Energy, and Seammens along with Aliance and Ry Metal to the upside. Infinian, BASF and Deutsche Telecom were some of the lagards.