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DAX – is about to experience an exorbitant upward trend
How long have you been reading my attempts to write a serious text and thus a serious analysis? If you are a regular reader, you will certainly know that I always try to write seriously. If you’re new, you might already be able to get out here. Nevertheless, the council is allowed not to always just follow the barkers. They often only have one thing in mind: to impress you and then sell something. With technical analysis I would like to give you a tool that I want you to understand. Regarding the DAX analysis today, it can be said that the German leading index has caught on to a latent support zone and has recently been able to pick up again. However, the DAX is still treading water and has not yet been able to sustainably take advantage of the opportunity to rise again. However, the specifications from the USA at the end of the week could help to generate a positive start to the week. However, it is still completely unclear whether there will be enough strength to overcome the recent tops. The seasonality does not currently indicate an increase as described in the headline.
Dow Jones – brilliant price jump at the end of the week
The Dow Jones was able to form a bottom well above the old support zone and has recently held it. On Friday there was a strong price jump, which resulted in a Doji. Such days, when the opening and closing prices are at approximately the same level, always represent uncertainty for market participants. Whether this is an uncertainty about whether things could go up or down is irrelevant. In this case, the price jump with a gap is likely to be a positive sign. The indicators are moving upwards and are unlikely to have a braking effect yet. There is therefore a good chance that the start of the week will also be positive.
Gold – Crumbles but is not under pressure
Gold has been crumbling for several weeks, but no downward pressure has been observed. Even though I have drawn a downward wedge here, it is far from typical and should not be overestimated. The small wedge that formed in March was more significant. Regardless, the current move represents a welcome correction in the overall uptrend. Indicators are slowly moving back into the oversold zone and could support a breakout from the supposed wedge to the upside. Overall, the gold run shouldn’t be over yet.
Oil – is that an SKS?
Oil North Sea Brent Futures (linked)
To the delight of motorists, the last increase in oil prices was nipped in the bud. Recently, the oil price has come under considerable pressure and has even fallen to the lower limit of the support zone. This was done following a formation very similar to a shoulder-head-shoulders formation. Even if it would be nice for us consumers, a downward breakout would be difficult. On the one hand, the SKS’s goal would have already been reached and on the other hand, the indicators are in oversold territory and are facing buy signals. Only the MACD indicator is still moving downwards. Overall, there is a good chance of holding the support zone.
Bitcoin/USD – What a headline like that can do
I don’t mean Bitcoin itself, but my headline about Bitcoin and the associated traffic numbers from a week ago. I just wanted to point out that the halving has not yet had any positive effects on price formation. A few days ago, the cryptocurrency even fell below the most recent support zone. With a kind of hammer formation, at least a short-term trend reversal could be initiated. The support zone was thus recaptured. However, there has not yet been any technical improvement in the situation. To do this, Bitcoin would first have to generate a new record high, which of course cannot be ruled out. However, the indicator situation is currently contradictory, which rarely represents a basis for sustained upward movements. I’ll be writing about Bitcoin again next week, even if the headline won’t always be as sensational as last week.
What Charts: ProRealTime.com
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Christoph Geyer, CFTe, Lindenstr. 31, 65232 Taunusstein Germany www.christophgeyer.de
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