Dax daily: 26 Jul 2019

26 ก.ค. 2019

Yesterday's session started by the gap closure, just as we pinpointed. The resistance at 12 576 was retested twice and then the price action was dominated by fundamentals. The ECB President Mario Draghi hinted a possible rate cut into negative values to tackle Eurozone's economic stagnation. This scepticism influenced the German stock index DAX as well and we saw this reflected by a prudent downfall by more than 250 points. The session was closed at 12 344.

Important zones

Resistance: 12 437, 12 470
Support: 12 338

Statistics for today

Detailed statistics in the Statistical Application
The statistical probability of closing the gap is only 38%

Macroeconomic releases

14:30 CEST - USA - Advance GDP q/q

Today's session hypothesis

Yesterday's volatile activity has dramatically reduced our estimations and today's hypothesis. The moves were caused by fundamental news. The statistical application signifies the gap closure probability of only 38%, yet the price around 12 338 became a balanced consensus for market participants. That's one reason this zone could be retested today as well. Besides, we have enough room for the long correction all the way towards 12 437.