GER30 tries to Shake Off Covid Jitters
The German index is upbeat and tries to build on Wednesday’s profits, despite fresh risk-off wave on Omicron news yesterday
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The German index is upbeat and tries to build on Wednesday’s profits, despite fresh risk-off wave on Omicron news yesterday
Weekly Chart Further to our previous article, the GER30 charted a lower low this week at support (blue shaded horizontal). Since hitting this level, bulls have attempted to push the price higher, and the current action is off the low for the week. This has set up a potential swing low. However, for this to take place, short-term candles will need to chart a higher low and close above this…
GER30 Big Weekly Drop Last week the GER30, FXCM's proxy for the DAX30, dropped 6.4% from open to close. The coronavirus spread in Europe initially rattled the market. However, it was confirmation of a new strain that was the catalyst for the decline. First referred to as "Nu" but amended to "Omicron" by the WHO, research is currently being conducted on the new strain, with evidence suggesting a risk of…
The GER30 gapped down on open today, as a risk-off sentiment prevails. The catalyst is covid-19 developments. In Europe, countries are starting to reintroduce restrictions to deal with rising infections. On Wednesday, Italy announced new Covid measures, and Germany narrowly avoided another lockdown, preferring to see if stricter Covid passport rules help alleviate the situation. Moreover, concerns over a new Covid variant have added to the fears. The B.1.1.529, or…
The Primary Trend The EURUSD monthly below (chart 1) has charted a lower peak followed by a lower trough - the classical definition of a downtrend. Due to the longer time scale, the primary trend for EURUSD is down. Until there is a change in the pair's primary trend, impulse moves down will be stronger than corrective moves up on the lower time frames. The stochastic is heading towards the…
News of agreement for a three-party coalition on Wednesday, provided support to the German Index, but today’s economic data are not helpful
The German index sheds around 1% and runs its fourth straight losing day, breaching key technical levels, amidst poor investor sentiment
European traders try to shake-off Friday’s Coronavirus jitters and the relevant drop of the German Index
Broader market sentiment took a nose-dive, after Austria announced lockdown measures to restrain the spread of the coronavirus
Introduction The GER30, FXCM's proxy for the DAX, is running rampant. It has charted an all-time high this week. Moreover, this is its sixth week of price appreciation. Of note, the index is up 9.9% since its 6 October low. This is is an astounding rate of change. It raises the question of just how long should we expect this to continue? In the near term, it would make sense…
UK core inflation printed at 3.4% y/y, higher than the 3.1% forecast. For the Euro, core came in at 2% y/y, less than the consensus of 2.1%. There is also very different communication from each's central bank. At the monetary policy report hearing on Monday, BoE governor, Andrew Bailey, admitted to being "very uneasy' about inflation. Although the BoE did not raise rates at the last meeting, there were two…
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