Europe appears to be coming apart one nation at a time’, writes Bloomberg to summarize the complicated politics of the old continent. After the French snap election led to a divided government and an ungovernable France since summer, German politicians gave a no-confidence verdict for the three-way ruling party of Germany, paving the way for […]

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Short Term Elliott Wave View in DAX suggests cycle from 8.5.2024 low is in progress as a 5 waves impulse structure. Up from 8.5.2024 low, wave 1 ended at 19674.68 and pullback in wave 2 ended at 18812.53. Index has resumed higher in wave 3. Up from wave 2, wave ((i)) ended at 19198.74 and […]

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GER40 index rises vertically, unlocks 20,000 number Short-term bias is positive, but caution is necessary The German 40 index surged into uncharted territory, finally breaking above the 20,000 number on Tuesday despite the Eurozone’s biggest economy facing a gloomy economic and political outlook. After a strong rally, the index could face a pullback, especially as the RSI and the […]

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Short Term Elliott Wave View in DAX suggests rally to 19670 ended wave ((3)). Wave ((4)) pullback is currently in progress as a double three Elliott Wave structure. Down from wave ((3)), wave (i) ended at 19451.7 and rally in wave (ii) ended at 19591.5. Wave (iii) lower ended at 19368.69 and wave (iv) rally […]

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Significant volatility was seen in the global financial markets last week, driven by the highly anticipated US presidential election. Contrary to expectations of a tight contest, Donald Trump secured a comfortable victory over Kamala Harris, with the Republican Party also achieving a “Red Sweep” by taking control of both the Senate and the House. This […]

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Today, Germany’s PMI data was released, according to Forex Factory: → German Flash Manufacturing PMI: actual = 42.6, expected = 40.7, previous = 40.6; → German Flash Services PMI: actual = 51.4, expected = 50.6, previous = 50.6. The DAX 40 index (Germany 40 mini on FXOpen) showed a slight intraday increase, which could be […]

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Dollar continued its reign as the strongest currency for yet another week, bolstered by solidifying expectations around gradual and measured rate cut cycle by Fed. The rate cut from ECB provided some additional tailwind for the greenback. However, momentum behind the Dollar’s rise remains tepid. Strong risk-on sentiment, coupled with sluggishness in U.S. Treasury yields, […]

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Yesterday, the European Central Bank’s Governing Council cut the refinancing rate, as expected, from 4.25% to 3.65%. The ECB also stated that monetary policy would remain sufficiently restrictive “for as long as necessary” to ensure inflation returns to its medium-term target of 2%. Financial markets responded with: → A strengthening of the euro. EUR/USD rose […]

The post DAX 40 Reacts Positively to ECB’s Rate Cut Decision appeared first on Action Forex.

The recent rebound from its 10 September low of 18,186 has faced a hurdle to clear above its 20-day moving average. Several key elements are advocating for a potential short to medium-term bearish reversal. Watch the key resistance at 18,660. After the 9.4% drop seen in the Germany 30 CFD Index (a proxy for the […]

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Short Term Elliott Wave view on DAX suggests that the Index is correcting cycle from 8.5.2024 low in 3, 7, or 11 swing before it resumes higher. The pullback on 8.5.2024 towards 17024.6 ended wave ((4)). The Index has turned higher in wave ((5)) with internal subdivision as an impulse Elliott Wave structure. Up from […]

The post Elliott Wave Intraday Analysis Expects DAX to Turn Higher Soon appeared first on Action Forex.

In the final week of August, financial markets delivered unexpected developments that caught many by surprise. Investor sentiment decisively shifted towards a risk-on approach, propelling major indices like DOW and DAX to new record highs. This optimism was largely driven by expectations of forthcoming monetary easing from key central banks, including Fed and ECB. Despite […]

The post Rate Cut Hopes Eclipse Recession Concerns, Dollar Tracks Rising Yields appeared first on Action Forex.

Short Term Elliott Wave View suggests rally in $DAX to 18892.92 ended wave ((3)). Pullback in wave ((4)) unfolded as a double three structure where wave (W) ended at 17951.17 and wave (X) ended at 18779.40. Index then resumed lower in wave (Y) towards 17039.47 which completed wave ((4)). The Index has turned higher in […]

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The global financial markets started last week in a state of panic, driven by a sharp selloff in stock markets, with Japan’s Nikkei index experiencing particularly heavy losses. However, as the week progressed, this initial wave of panic appeared to subside, with market sentiment stabilizing somewhat. This calmness, however, should be viewed with caution. The […]

The post Market Panic Subsides as Consolidations Take Hold, but Sentiment Remains Fragile appeared first on Action Forex.

Last week proved to be a whirlwind for global markets, marked by a series of shocking events—from the failed assassination attempt on Donald Trump last weekend, to the historic global tech outage that occurred on Friday that brought significant attention but surprisingly little reaction from the financial markets. Still, after a volatile week for stocks, […]

The post Shift in Risk Sentiment a Short-Lived Anomaly or Start of a Longer Correction? appeared first on Action Forex.

Federal Reserve (Fed) Chair Jerome Powell’s testimony yesterday wasn’t overly optimistic but it revived the expectation that a rate cut could come sooner rather than later. In the first day of his semiannual testimony before Senators, Powell said – for the first time in three years – that inflation is no longer the only threat […]

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Hello fellow traders. In this article we’re going to take a quick look at the Elliott Wave charts of DAX published in members area of the website. As our members know DAX is showing impulsive bullish sequences and we are keep favoring the long side. Recently we got a 3 waves pull back that has […]

The post DAX Elliott Wave: Buying the Dips at the Blue Box Area appeared first on Action Forex.

Sovereign credit risk remains elevated in France despite yesterday’s rallies seen in the EUR/USD, CAC 40 & DAX ex-post first round of the French legislative election. Speculative net capital outflows & bearish sentiment in CAC 40 & DAX may trigger a negative feedback loop into the EUR/USD. EUR/USD at risk of breaking down below 1.0656 […]

The post EUR/USD: Euro Bulls Should Not be Complacent after French Election appeared first on Action Forex.

Yen remained in the spotlight last week, dominating headlines even as some significant global inflation data also moved markets. The Japanese currency continued its downtrend, reaching multi-decade lows. Despite the prolonged decline, Japanese authorities refrained from intervening directly in the markets. However, the looming threat of intervention kept traders cautious, resulting in a more controlled […]

The post Yen Hits Multi-Decade Lows, Euro Bounces Back, Dollar Remains Indecisive appeared first on Action Forex.

Global financial markets were abuzz with several high-profile events last week, including critical meetings of Fed and BoJ, alongside release of US inflation data. However, it was the escalating political turmoil in France that captured the most attention, significantly impacting Euro and overshadowing other major economic news. The common currency emerged as the week’s weakest […]

The post Sharp Declines in Euro and European Markets Triggered by French Political Drama appeared first on Action Forex.

The rising power and influence of the EU’s far-right political parties have spooked European financial markets. A poll has indicated prominent French far-right National Rally party is leading by a significant margin over the incumbent President Macron’s party for the upcoming 1st round of the French legislative election on 30 June. The rapidly rising yield […]

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