DAX Future Quick Video Idea - 2024.04.08EASYMARKETS:DAXEUR
Disclaimer:
easyMarkets Account on TradingView allows you to combine easyMarkets industry leading conditions, regulated trading and tight fixed spreads with TradingView's powerful social network for traders, advanced charting and analytics. Access no slippage on limit orders, tight fixed spreads, negative balance protection, no hidden fees or commission, and seamless integration.
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, are intended only to be informative, is not an advice nor a recommendation, nor research, or a record of our trading prices, or an offer of, or solicitation for a transaction in any financial instrument and thus should not be treated as such. The information provided does not involve any specific investment objectives, financial situation and needs of any specific person who may receive it. Please be aware, that past performance is not a reliable indicator of future performance and/or results. Past Performance or Forward-looking scenarios based upon the reasonable beliefs of the third-party provider are not a guarantee of future performance. Actual results may differ materially from those anticipated in forward-looking or past performance statements. easyMarkets makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or any information supplied by any third-party.
Germany
DAX: 22,000 € Target in Sight!Since our short scenario for the DAX was invalidated, we had to reanalyze and concluded that we are dealing with a very long and extremely bullish scenario, as it's the only other option we have left for the DAX. We assume that, on the weekly chart, we will reach a minimum level of 22,000€. This scenario is supported by a trend channel that we have now broken and exited upwards. Therefore, we expect to reach levels between 19,700 and 23,000 for Wave 3, which will only serve as a catalyst for even higher movements. As seen, we anticipate the overarching Wave (3) to reach levels between 25,400 and 31,400. There's still a lot of potential and room for upward movement, and given our invalidation, we will now be looking for long entries. As always mentioned, the economy increasingly reflects less of what happens in the markets, diverging more from economic activities, making it somewhat perplexing when considering Germany as a whole and the remarkable performance of the DAX.
Deutsche Bank: Next Big Leap Ahead?
Starting our analysis for the Deutsche Bank chart at the Corona low of $4.45, we have since seen an uptrend developing with a Wave (1) and already a Wave (2), placing us in the overarching Wave (3). Within this Wave (3), we're looking for potential entry points. We've also developed Waves 1 and 2 and are currently, as seen on the 4-hour chart. We want to enter at the end of this coming wave ((iv)). We expect to reach between 38% and 50% retracement, with the possibility of hitting 61.8%, but not much lower, as we would need to invalidate the scenario if the price falls into the level of Wave 1 for an extended period.
Looking upward, we set our target at a minimum of €16.16, which corresponds to the 161.8% extension. The chart clearly shows that we are experiencing lower highs and equal or lower lows. Thus, we believe there will be a downturn before the price moves higher. Our entry zone is at $11.37, with our stop-loss just above $10, but also just below the invalidation zone.
Canopy Growth Poised for German Cannabis Market BoomIn a groundbreaking development for the global cannabis industry, Germany's decision to legalize cannabis marks a significant turning point, paving the way for increased access and growth opportunities. Canopy Growth Corporation (Nasdaq: NASDAQ:CGC ), a leading player in the cannabis sector, stands poised to capitalize on this historic moment, positioning itself for accelerated expansion and market dominance.
Germany's Cannabis Legalization: A Game-Changer
The German government's approval to recognize cannabis as a non-narcotic represents a monumental shift in policy, signaling broader acceptance and normalization of cannabis consumption. Effective April 1, 2024, adult consumers in Germany will be able to legally access cannabis products without fear of prosecution, a move applauded by industry stakeholders and advocates alike.
Canopy Growth's Strategic Advantage
For Canopy Growth ( NASDAQ:CGC ), the legalization of cannabis in Germany presents a unique opportunity to bolster its commercial presence and solidify its position as a key player in the German market. Leveraging its diversified portfolio, including the renowned Storz & Bickel vaporizer brand and Canopy Medical's medical cannabis offerings, the company is poised to capture significant market share and drive revenue growth.
Storz & Bickel: Leading the Vaporizer Revolution
With the legalization of recreational cannabis, Storz & Bickel stands to benefit from increased demand for its premium vaporizer products. As one of the most respected brands in the industry, Storz & Bickel is well-positioned to capitalize on the burgeoning German market, offering consumers the highest quality vaporization devices backed by years of expertise and innovation.
Canopy Medical: Meeting Patient Needs
For Canopy Medical, Germany's reclassification of cannabis as a non-narcotic represents a major breakthrough in patient access to medical cannabis. With the potential for more patients to explore cannabis as a treatment option, Canopy Growth is committed to delivering high-quality products that meet the diverse needs of patients while driving awareness and education within the medical community.
Driving Awareness and Collaboration
Beyond product offerings, Canopy Growth ( NASDAQ:CGC ) is dedicated to driving awareness and fostering collaboration within the medical community through educational initiatives and partnerships. By engaging with physicians and patients, the company aims to promote the therapeutic benefits of cannabis and establish itself as a trusted provider of medical cannabis solutions.
If Germany is the sick man of Europe. #Bayer looking deathlyThe #EU is Marxist, Socialist, and is involved in Price setting
That didn't work out too well for USSR as economic powerhouse
and so too we see the once great German economy being brought to it's knees.
It is being de-industralized and being brought down in a great economic levelling of the union
Such a shame
Bayer Pharmaceutical is arguably a company we could do without .. so this chart does not upset me too much ...
But it is major component of the #DAX and highlights the economic pain that Germany may indeed go through in the next recession.
DAX Remains In UptrendDAX has seen some deep pullback in 2023, but it was A-B-C drop into the important 14400-14600 area. We can see nice and clean impulsive recovery from that support area and back to new highs, so bullish trend is back and it's very strong one; a move that can resume even higher after recent consolidation. Ideally that's wave 4 that can be now completed with current sharp and impulsive bounce, so be aware of a continuation higher for wave 5, especially if breaks 16800 bullish confirmation level.
Porsche Automobil Holding (PAH3): On the Fast TrackPorsche (PAH3): XETR:PAH3
Our analysis of Porsche Automobil Holding focuses on the stock's price movement since the lows during the COVID-19 crisis at 28.48 EUR. Since then, Wave (1) in blue has expanded to 102 EUR, currently serving as a local high. Subsequently, a remarkably unusual and complex Wave (2) has been observed, which appears atypical at first glance. Upon closer examination, this phase is identified as a flat correction, which falls just above the 78% level, slightly insufficient for a regular flat. In Elliott Wave analysis, as well as in other analyses, it is sometimes necessary to stretch certain rules to reach a conclusion. Whether this is invalid or not is difficult to say at this point.
Currently, the stock suggests that Wave C in red has not yet been fully completed, as the extension of Wave (iii), as expected, took a corrective trend reversal at 41.48 EUR. If this is the case, we are currently witnessing the formation of Wave (iv), with the stock possibly falling one last time with Wave (v) before finally bidding farewell to the overarching Wave (2). The exact timing for this remains open and uncertain. However, as long as Wave 1 does not become invalid, a downward trend is expected for Porsche stock. Potential significant entry points for us could lie in a retest of the Wave (iii) area at 41.90 EUR or even lower. The exact coordinates are yet to be determined, but until then, we anticipate a declining price for Porsche stock.
DE40 / TECHNICAL ANALYSIS / 4H
Hello friends,
On the 4-hour chart of the CAPITALCOM:DE40 pair, my first target is 16,346, and the second target is 16,143.
Best regards,
You can express your appreciation by clicking the like button and the follow button for the analyses we have meticulously prepared for you; we've invested time and effort on your behalf.
Feel free to share your thoughts and questions in the comment section.
Good luck.
DAX Is Trading In Wave 5 Of An ImpulseDAX has nice and clean impulsive personality away from the lows in the 4-hour chart which indicates for more gains, but we should be aware of some slow down after a five-wave movement, which can approach the temporary 16530-16600 resistance area from where we may see some pullback.
: European Equities and DAX: Navigating Bullish Sentiment Amid EEuropean equity markets, especially the German DAX, are poised with a bullish sentiment despite concerns about a potential economic slowdown in 2024. Analysts surveyed anticipate a moderate increase in European benchmarks, projecting a 4.1% rise for the pan-European STOXX 600 index and a 2.5% increase for the Euro STOXX 50 index by the end of next year. Amid worries over economic headwinds and the possibility of a recession, the markets remain cautiously optimistic, attributing the potential growth to expectations of a more dovish stance from central banks and a potential easing in energy prices.
Despite Germany's position as the bloc's industrial powerhouse facing challenges due to its reliance on energy-intensive industries and external demand, the German DAX is expected to rise by 5% by the end of 2024, building upon its 14% gain in 2023. Analysts emphasize the importance of key levels for the DAX, suggesting that a breakout from current resistance levels could signify a bullish trajectory for both Germany and the broader U.S. markets. Technical indicators such as RSI and MACD also align with this bullish sentiment, providing buy signals.
Investors are cautiously optimistic, considering the potential for a year-end rally in the U.S. to positively impact European equities due to increased risk appetite globally. However, concerns persist regarding a possible economic slowdown's impact on European markets, particularly in the latter half of 2024, posing challenges for sustained growth.
The current outlook for DAX hints at a continuation of its upward trend, potentially reaching resistance levels around 16,060. However, analysts also note the possibility of a drop towards support levels around 15,860 should a pivot point at 15,962.66 be breached, reinforcing the importance of monitoring key levels for cues about future market directions.
Risk Disclosure: Trading Foreign Exchange (Forex) and Contracts of Difference (CFD's) carries a high level of risk. By registering and signing up, any client affirms their understanding of their own personal accountability for all transactions performed within their account and recognizes the risks associated with trading on such markets and on such sites. Furthermore, one understands that the company carries zero influence over transactions, markets, and trading signals, therefore, cannot be held liable nor guarantee any profits or losses.
GERMANY 30Pair : Germany 30
Description :
Bearish Channel as an Corrective Pattern in Short Time Frame with the Breakout of the Upper Trend Line and Completed the Retracement. If it Breaks the Daily Descending Trend Line and Retest then Buy otherwise it will Complete its " 5th " Impulsive Wave
Entry Precautions :
Wait for the Breakout or Retest
German 40 IndexPair : German 40 Index
Description :
Bearish Channel as an Corrective Pattern in Short Time Frame and Completed " 123 " Impulsive Wave. Rejecting from the Lower Trend Line to complete the " 4th " Impulsive Wave and Retracement for the Break of Structure
Entry Precaution :
Wait for the Proper Rejection or Breakout of Trend Line
GERMANY 30 MovePair : DE30EUR - Germany 30
Description :
Bearish Channel in Short Time Frame and Long Time Frame as an Corrective Pattern , In LTF its Rejecting from the Lower Trend Line and in STF it has Breakout the Upper Trend Line. Break of Structure and Divergence
Entry Precautions :
Wait until it Complete its Retest or Rejects from Previous Support
DAX - (massive!) Short; This is a no-brainer!Germany decided to systematically destroy their (and the EU's) economy, in a consistent and spectacular fashion. This is a no-brainer!! (I have been shorting this, with everything I've got, for the past week.) The only thing that kept this thing afloat, so far, is the underlying currency (EUR/USD) push-pull. I believe that is now over and full capitulation is at hand.
Where will this mayhem stop? ... Well, it depends on the maximum pain tolerance of the combined German industrial base.
Will they let their government fully destroy their entire economy or will they put a stop to it, at some point? ... Right now, I don't care!
The damage is already done, the only question remaining; Just how bad?
Sell, sell, sell ... and then, Short some more!
Germany's Productivity is rekt since 2008Hello everyone,
I was curious today what the productivity of German labor is.
It crashed hard in 2008 and hasn't been able to improve much ever since.
Thanks to German politics, there is not enough investments being made that could increase workers productivity.
It's been in a range for long - I wonder how much longer it will take until German productivity sees new highs.
What do you think?
Will US Inflation Data Spark EUR/USD Recovery? Will US Inflation Data Spark EUR/USD Recovery?
In Monday's early trading session, the euro showed a slight weakening against the U.S. dollar, influenced by a prevailing sense of pessimism following disappointing industrial production figures in Germany. As the largest economy in the eurozone, Germany's struggles in the manufacturing sector have been evident throughout the year due to decreased orders, sluggish output, and soaring prices.
The EUR/USD pair attempted to recover above the 1.1000 mark, but it seems that sellers are gaining some control in the short term. Traders are now closely eyeing the next potential catalyst for movement in the currency pair, which is the U.S. inflation data set to be released on Thursday at 8:30 am (NY time).
Market expectations point towards a July core inflation rate of 4.7% on an annual basis for the U.S. A significant downside surprise in core inflation, say at 4.5% or lower, might prompt a dovish reassessment of the dollar's value and could open the door for a solid euro recovery.
At present, the EUR/USD is caught between two very tight technical levels after its recent rebound: resistance at 1.1010 and support at 1.1000. If the pair gains further strength, the focus could shift to the 1.1040 level. Conversely, if weakness takes hold, a pullback towards 1.0990 and a retest of 1.09655 may be in the cards.
Continental CON Long term bullish cycleOur probability indicator has observed Long Term BOS (Break-of-Structure) on Daily TF.
Essentially what that means is that we closing in on bearish cycle for XETR:CON and new bullish leg is forming for longterm continuation of new bullish cycle.
We expect further bearish correction to 68.30 - 64.80 zone ( Current Inverse H&S pattern support zone ) where conditions for perfect LONG entry occur.
Take-Profit should be set within High resistance zone 114.50 - 139.30
Unleash the Bull: DAX Breaks Boundaries!Bullish/Bearish Momentum:
The Macro PVVM, which indicates long-term trend, has been consistently increasing from 68 to 102. This is a strong sign of a bullish momentum in the long term. The indicator breached the overbought level (>100) on the last data point suggesting a strong bullish trend but also the potential risk of a pullback.
The Micro PVVM, representing short-term movement, has also shown a general increase from 12 to 41 with some periods of pullback, which indicates a predominantly bullish momentum in the short term.
Alignment with Closing Prices:
The closing prices have generally been increasing, aligning well with the bullish momentum indicated by the PVVM indicators. The price moved from $16147 to $16189 with some fluctuations.
Long-term and Short-term Trends:
Long-term (Macro) Trend : The continuous increase in the Macro PVVM suggests a long-term bullish trend.
Short-term (Micro) Trend : The short-term trend, represented by the Micro PVVM, has also been predominantly bullish, but the ups and downs suggest a higher level of volatility and uncertainty in the short-term trend.
Key Takeaways:
The OANDA:DE30EUR is in a strong bullish trend based on the provided dataset, with both Macro and Micro PVVM showing an increasing trend.
The Macro PVVM has breached the overbought level, indicating a strong bullish market but also warning of potential short-term pullbacks.
The short-term movement shows volatility, which means traders should be cautious.
Proposed Trade Strategy:
Long Position : As the overall trend is bullish, traders can consider entering long positions. However, they need to watch out for potential pullbacks due to the overbought condition.
Short Position : Given the overbought state of the market, traders could consider short positions if there are clear signs of bearish reversal in the Micro PVVM or a decrease in the Macro PVVM.
Price Prediction:
Given the current trend, the TVC:DEU40 could continue to increase in the next 7 bars. However, as the Macro PVVM has entered the overbought territory, a short-term pullback or consolidation could also occur.
Critical Points to Watch:
Continuation of the bullish trend in the Macro PVVM.
Signs of a reversal in the Micro PVVM, given the overbought condition in Macro PVVM.
Price movements and their correlation with PVVM indicators. Watch out for any divergence between price and PVVM indicators, as it may suggest potential trend reversals.
Remember, while the PVVM indicators provide valuable insight into the market's direction, they are not infallible and should be used in conjunction with other technical analysis tools and fundamentals for the most reliable results.
The Turning TidesGermany, Europe's economic powerhouse, has consistently delivered impressive performance since the Global Financial Crisis (GFC) and the European debt crisis. This strong performance is rooted in Germany's strong manufacturing sectors and robust export activities.
The country's economic strength is exemplified by the DAX's considerable outperformance of other European indices since the early 2000s. DAX (Deutscher Aktienindex) is a blue-chip stock market index comprising the 40 largest German companies traded on the Frankfurt Stock Exchange. Top constituents include internationally renowned firms such as SAP, Siemens, Allianz, Airbus, and Bayer. On the other hand, the STOXX50 index represents a much broader scope, encompassing 50 of the most liquid blue-chip companies in the Eurozone, including ASML, LVMH, and others.
Since the dawn of the new millennium, the DAX index has surged by more than 180%, whereas the STOXX50 is only now approaching pre-2008 GFC levels. The DAX's relative outperformance becomes evident when looking at the regression channel of the ratio between these two indices.
However, the prevailing narrative may be on the cusp of a significant shift. On a closer examination of the factors underpinning Germany's superior performance, it emerges that sector weightings and macroeconomic conditions have played pivotal roles. Notably, the DAX has consistently underweighted financials as compared to the STOXX50 index.
Post-2008, the Eurozone's interest rates have witnessed a consistent downtrend. This period of extraordinarily loose financial conditions and low bond yields, largely a by-product of Quantitative Easing (QE), has favored technology and growth stocks. The main drivers are the availability of cheap capital and a stronger emphasis on growth potential over current valuations. Conversely, the same conditions have exerted considerable pressure on financials, as their earnings capabilities have been seriously compromised. This is precisely why the European banking sector has lagged considerably behind its US counterparts and has yet to recover to pre-GFC levels.
This whole dynamics began to falter last year as inflationary pressures mounted, especially in European countries grappling with additional challenges, such as the Russian-Ukraine war and an energy crisis. The European Central Bank, following in the footsteps of the Federal Reserve and other central banks, finally embarked on a journey to raise interest rates, leading to one of the fastest-paced interest rate increases in modern history.
Furthermore, Germany's export sector is encountering headwinds as the global economy edges closer to a potential recession, triggered by the tightening measures undertaken by central banks. Demand for products such as automobiles is likely to dwindle, particularly from major trading partners like China and the US. On the other hand, a healthier, more normalized yield curve is finally offering some respite to European financial institutions.
This shift could eventually curtail DAX's persistent outperformance compared to other European indices like STOXX50. From a technical perspective, the price action also implies an impending change. The DAX/STOXX50 ratio has arguably completed a Head-and-Shoulder top and is currently sitting on the lower bound of the regression channel. A breakout to the downside could potentially signal the end of a two-decade-long uptrend, leading to a significant reversal in relative performance between DAX and STOXX50.
A hypothetical investor looking to express this view could consider establishing a short Micro DAX and long Micro STOXX50 spread at a notionally equivalent amount. The added advantage of this relative trade is that beta exposure is substantially reduced. For example, if a global recession causes most equity markets to decline, this relative trade could still benefit if the DAX falls more than the STOXX50.
Do note that a spread-trading strategy may incur additional commission fees versus a traditional outright strategy. Hot tip: Phillip Nova is currently offering zero-commission trading of the EUREX Micro-DAX® Futures and Micro-EURO STOXX 50® Futures. Click here to learn more.
To create a notionally equivalent DAX/STOXX50 spread, an investor might short 1 Micro DAX futures (EUR 1 per index point) and go long on 4 Micro STOXX50 futures (EUR 1 per index point). The notional amount of the Micro-DAX futures would approximately be 15,800 EUR. Meanwhile, the notional amount of the 3 STOXX50 futures would approximately be 3 x 4280 = 17,120 EUR. The margin required for each contract of Micro-DAX would be 1,588 EUR while the Micro-STOXX50 would be 380 EUR (as of 10 July 2023).
Disclaimer:
The contents of this Idea are intended for information purposes only and do not constitute investment recommendations or advice. Nor are they used to promote any specific products or services. They serve as an integral part of a case study to demonstrate fundamental concepts in risk management under given market scenarios. A full version of the disclaimer is available in our profile description.