Skip to main content

Dax forecast for coming week.

Last week I told that if DAX if unable to cross 6600 level then it will drop, it is good to see that DAX close just above the level of 6200 which I mentioned.
Technical indicators are showing that DAX is in over-sold zone but it has the option to go more in the downside. Therefore 6100 can act as a good support for DAX. In fact in past 6100 was a good support for it and if DAX breaks that then 6000 is next support level. In worse case scenario, 5800 will be an important support level for DAX.
DAX is still following lower highs and lower lows pattern. Here I have a feeling that it may try to make a base at around 6200 level and early days of the coming week may give a signal of that. If it makes a base here then we may expect a reversal of trend from coming Tuesday to Wednesday. But I am not fully confident about that reversal, especially about the levels. It is an aggressive call, so for general investors the best way is to wait for couple of days so that if DAX drops. Therefore they need to watch movements around 6100 level very closely.

NOTEPlease see the disclaimer of this blog.


Popular posts from this blog

DAX forecast for coming week ended 15th March, 2013.

This week was very good for Dax, though it is getting resistance at 8100 range. Now it has a chance to test downside again. I think even if Dax tests lower levels, it has more chance to bounce back from around 7800 range and therefore it will again test upside.

On the other hand if it shows flat movements around 8000 range in initial days of the coming week then there is a chance that it may take a decisive call in later days. Considering the recent trends it has the chance to test higher levels may be around 8200 but that will be a very aggressive call after taking in to account the movement from last December. I will worry about the downside when Dax will be testing levels below 7600 ranges.
NOTE: Please see the disclaimer of this blog.

Fed’s rate hike Vs Sovereign rating up gradation

Financial market is very much worried about the rate hike in US, probably this is going to come in coming December. But I think that is not going to change much of the things. Even Fed hikes rate in December it will be not so much, because we are forgetting one thing that interest rate in US is around zero so even they hike rate by 0.25-50% basis points (at most) in this year that will not be enough cause for Dollars to change their locations around the world especially markets have already discounted this coming rate hike in US.

A new disaster is coming in EU banking sector, whom to blame, big Audit firms!

First I was thinking what should be the title of this posting? Will it be good if I write that big audit firms set the time for EU bank collapse! If someone is thinking that financial crisis is over then think twice because the coming EU banking crisis is no way less than 2008 financial crisis. The time bomb will explode at some point of time in future, the time has not yet set for it. In that tsunami, forget about the smaller if any major banks collapse then I will not be surprise.