Dax daily: 16 Oct 2019

We saw another bullish happiness for Dax. After the initial long, buyers took a lunch break and the price resumed its climb later in the afternoon session. The resistance zone at 12 598 was broken and functioned as a support. Dax formed a new high of the recent past weeks but didn't hold the throne for long. The price then closed the day at 12 624.

Important zones

  • Resistance:  12 676
  • Support: 12 598

Statistics for today

Macroeconomic releases

  • NIL

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Today's session hypothesis

Dax opened with a descending gap today. Before we finished writing this analysis, the gap has closed quickly. Buyers respected the support zone at 12 598. If the current bullish sentiment holds up, the retest of yesterday's high at 12 676 is very likely. That level is now an important resistance zone and should it be broken, we see another target at 12 730 which is the August high. Dax traders seem to be optimistic also due to the favourable Brexit echoes we hear recently. On the other hand, if the market mood changes, we are looking at a decline towards 12 483.

 

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