On Friday, German index DAX showed an upward movement and stopped at the level of 12142.5, and growth within the day was +0.72%.
Data on retail sales and unemployment, had a negative impact on Euro, but, at the same time, drew attention to the german index.
From the technical analysis, several conclusions and observations can be made: now DAX is below the 200-day moving average.
On the day chart we can see an obvious downward trend, despite all attempts to grow.
Accordingly, after the opening of the market on Monday, September 4, to open short-term transactions - we recommend to look at the market situation at that time.
The probability of opening a market with a gap is high. In the medium and long term, we recommend that you look for entry points to open positions down.
EUR / USD
After the restrained rhetoric of the heads of the ECB and the Fed at the Jackson Hole meeting, the Euro soared.
Mario Draghi again chose a cautious and conservative position on the monetary policy of the Eurozone.
Which made again the euphoria of the speculators, who in every word are trying to catch the notes of the reduction of the QE program.
Also, a hurricane that caused significant damage to the Mexican coast affected the stability of the dollar, and we saw last week a two-year minimum against the euro.
But the situation on the market suddenly changed when negative unemployment report was published when data came out, EUR / USD soared 0.5% to 1.1970, again approaching a two-year high, but after a verbal intervention of the ECB, published by Bloomberg, which said that the European Central Bank was not ready to curtail the QE program before December, started to go down again.
This news dramatically changed the mood of the market, and absorbed a wave of short positions, those traders who did not have time to get profits.
Judging by the technical analysis, the mood of the market has changed again, and now the US dollar is expected to strengthen further, but market turns at psychological levels should be taken into account.
Gold last week continued to grow thanks to the tense situation between the US and the DPRK. But the main factor in the sharp rise in prices was a provocative test by a ballistic missile that flew over the territory of Japan, and fell into the Pacific Ocean.
Perhaps this test is related to the training conducted by the United States and South Korea.
In these geopolitical exacerbations strongly affect the demand on safe-haven ssets, which is gold.
From the technical point of view of, gold has reached the peak since December 2016, and now the correction to the round level of 1300 per troy ounce is expected.
But with regard to further growth, everything depends on result of conflict between the US and the DPRK.
The reaction of world oil prices after Harvey hurricane remains unpredictable.
This hurricane caused serious damage to the US energy infrastructure, but oil prices did not rise.
Hurricane Harvey, which struck the American coast in the Gulf of Mexico, became the most powerful in the last 12 years and disrupted nearly a quarter of the oil refining capacity.
As for the production capacities, the average is about 13.5 percent, according to the US Bureau of Security and Environmental Control.
Mood of the market has changed a lot lately.
This confirms the fact that the market also did not pay attention to the fallen production level in Libya, caused by riots in the country.