Dax daily: 21 Jan 2020

Yesterday's session really turned out positive for bullish traders. Dax closed nicely at new high levelled at 13 573. The only flaw we see in this situation is today's gap opening.

Important zones

  • Resistance:  13 573
  • Support: 13 386

Statistics for today

Macroeconomic releases

  • 11:00 CET - German ZEW Economic Sentiment

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Today's session hypothesis

Tuesday's analysis is complicated due to an unusual overnight drop and opening with a descending gap. The size of 110 points is very unusual and we don't have statistics for such a big stretch. Just as the other statistics such as the extremes breakout are now invalid. Yesterday's Price Action clearly confirmed a bullish sentiment, yet the gap proves otherwise and we can only understand this as the risk mode shift. If today's gap gets closed, that will signal risk-on and positive sentiment for further longs in the upcoming days. If not, the price is likely to oscillate in the 13 386 - 13 460 range. Keep an eye on today's ZEW release.

 

 

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