DAX has outperformed America and will continue to 24,000!The DAX, Germany's main stock index, has been on a rampage!
Compared to American indices and crypto, it's continued to hit record highs.
Several factors have been fueling this rise:
Increased Government Spending: Germany's plan to invest around €500 billion in infrastructure and defense has boosted investor confidence.
European Central Bank (ECB) Rate Cuts: The ECB's recent interest rate reductions aim to stimulate economic growth, making equities more attractive.
Attractive Valuations: European stocks, including those in the DAX, have lower price-to-earnings ratios compared to U.S. stocks, drawing investors seeking value.
investopedia.com
Global Economic Optimism: Positive developments, such as potential resolutions in trade tensions and geopolitical conflicts, have improved the global economic outlook, benefiting export-oriented indices like the DAX.
Technically, it's been a trend traders haven. It continues to bounce up on not only the Uptrend line but also the 20MA.
So if momentum like this continues we will see it reach a psychological level of 24,000.
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