DAX finds support at 100-day moving average
DAX Index (DAX) Technical Analysis Report for Jul 13, 2018
Moving higher for the 2nd day in a row, DAX ended the week 0.36% higher at 12540.73 after gaining €47.76 (0.38%) today. Trading €34.56 higher after the open, the stock index was unable to hold its gains as the bears took control ending the day below its opening price. Closing above Thursday's high at 12505.20, DAX Index confirms its breakout through the previous session's high having traded €78.59 above it intraday. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Friday's trading range was €84.49 (0.67%), that's below last trading month's daily average range of €148.16. Things look different on a weekly scale, where volatility is way below the markets average with the monthly volatility being slightly below average.
Prices are trading close to the key resistance level at 12608.70. After trading as low as 12499.30 during the day, the index found support at the 100-day moving average at 12526.97.
The market shows strength in the short-term supported by its long-term uptrend with only the medium-term trend being bearish. DAX managed to break above the 100-day moving average at 12526.97 today for the first time since July 9th.
Buying could speed up should prices move above the nearby swing high at 12639.79 where further buy stops might get triggered. Selling could accelerate should prices move below the close-by swing low at 12398.47 where further sell stops might get activated.
While classical technical analysis indicates a neutral sentiment for the next trading day, our quantitative statistics show a different picture being bullish.