DAX Price forecast for the week of November 27, 2017, Technical Analysis
The German index gapped lower at the beginning of the week, but turned around and rallied to clear the €13,000 level again. Although we gave back quite a bit of the gains towards the end of the week, the DAX looks healthy, and it looks as if it is going to try to continue to go higher. There is a significant amount of support near the €12,800 level, and it makes sense that we would continue to find buyers based upon these dips going forward. A break above the top of the range for the week would be very bullish sign, and should send this market towards the €13,500 level next, and then eventually €14,000 as it would signify a massive brake higher. I believe that the €12,500 level underneath is the “floor” in the uptrend, and as long as we can stay above there, the market will find it so bullish, and perhaps even in the uptrend in channel that looks to be forming.
The EUR/USD pair will continue to rally, so that will make DAX exports a bit more expensive, so that could be a bit of a weight around the neck of the DAX, but we are most certainly in an uptrend, and trying to fight the uptrend is a good way to lose money. I believe that for those of you who are patient enough, you should continue to benefit from the uptrend, and buying the dips continues to offer value that traders will continue to take advantage of. Longer-term, we could be going as high as €15,000, but it’s obviously going to take a while to get there, and there will of course be several pullbacks along the way. By being patient enough, you can take advantage of those pullbacks as the market looks to be very technically oriented, with every €500 offering support and resistance.
DAX Video 27.11.17
This article was originally posted on FX Empire