GER30 on the Back Foot as Risk-Off Mood Persists

  • GER30
    (${instrument.percentChange}%)

GER30 - H4

The German Index dropped yesterday, weighed by losses of big automakers, following ACEA's registration figures that showed a 22.8% y/y slump in new car registration in the European Union.

Today its extends its decline, as broader sentiment remains poor, amidst new oil disruptions and monetary normalization prospects from major central banks, even though the ECB is behind its counterparts in the tightening path.

With losses of around 1.5% this week and fresh 2021 lows today, 200Day EMA (15,400) has been brought in the spotlight, but bears don't seem yet ready to tackle this level.

On the other hand, GER30 tries to hold 50% Fibonacci of the "December Low/January High" advance and along with RSI close to oversold levels, it may be able to react higher.

This could give it the chance to reclaim EMA200 (15,820-30), but improvement in sentiment is needed for it to break past the descending trend-line from this month's highs (15,970-90).

Inflation data from Germany did not offer any surprises, since CPI rose 5.3% y/y as expected in December, while Eurozone Inflation is expected tomorrow.


Past Performance: Past Performance is not an indicator of future results.

Nikos Tzabouras

Senior Market Specialist

Nikos Tzabouras is a graduate of the Department of International & European Economic Studies at the Athens University of Economics and Business. He has a long time presence at FXCM, as he joined the company in 2011. He has served from multiple positions, but specializes in financial market analysis and commentary.

With his educational background in international relations, he emphasizes not only on Technical Analysis but also in Fundamental Analysis and Geopolitics – which have been having increasing impact on financial markets. He has longtime experience in market analysis and as a host of educational trading courses via online and in-person sessions and conferences.

Disclosure

Any opinions, news, research, analyses, prices, other information, or links to third-party sites contained on this website are provided on an "as-is" basis, as general market commentary and do not constitute investment advice. The market commentary has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is therefore not subject to any prohibition on dealing ahead of dissemination. Although this commentary is not produced by an independent source, FXCM takes all sufficient steps to eliminate or prevent any conflicts of interests arising out of the production and dissemination of this communication. The employees of FXCM commit to acting in the clients' best interests and represent their views without misleading, deceiving, or otherwise impairing the clients' ability to make informed investment decisions. For more information about the FXCM's internal organizational and administrative arrangements for the prevention of conflicts, please refer to the Firms' Managing Conflicts Policy. Please ensure that you read and understand our Full Disclaimer and Liability provision concerning the foregoing Information, which can be accessed here.

Past Performance: Past Performance is not an indicator of future results.

Spreads Widget: When static spreads are displayed, the figures reflect a time-stamped snapshot as of when the market closes. Spreads are variable and are subject to delay. Single Share prices are subject to a 15 minute delay. The spread figures are for informational purposes only. FXCM is not liable for errors, omissions or delays, or for actions relying on this information.

Risk Warning: Our service includes products that are traded on margin and carry a risk of losses in excess of your deposited funds. The products may not be suitable for all investors. Please ensure that you fully understand the risks involved.

${getInstrumentData.name} / ${getInstrumentData.ticker} /

Exchange: ${getInstrumentData.exchange}

${getInstrumentData.bid} ${getInstrumentData.divCcy} ${getInstrumentData.priceChange} (${getInstrumentData.percentChange}%) ${getInstrumentData.priceChange} (${getInstrumentData.percentChange}%)

${getInstrumentData.oneYearLow} 52/wk Range ${getInstrumentData.oneYearHigh}