Is this the German reaction ?
The price reacted positively as soon as the news was leaked. The President Trump will delay his decision on whether or not to increase tariffs on car imports in the United States. So Dax bringing himself close to 12200 points. It is driven mainly by car manufacturers like BMW and VW. Those stocks dragged the German list in this rise. Next Saturday the American President wants to focus first on the question of duties with China, which is strongly worrying the market.
So technically, it is very likely that the price will continue in this uptrend. In the very short term then reverse again and resume the road towards around 11700 points. Now the first target to which it aims, is identified by the EMA20 daily. Is the secondary static resistance set at 12250 points. It will violate upwards and test the key resistance at 12430 points if it has additional strength. In the opposite scenario the support area between 11800 and 11600 points will be rejected. The target will be approximately around 12000 points.
Is this the German reaction ? So we advise a long trade in the very short period and closing the position within one/two sessions, with the first TP the 12250 points. So stop the position if it falls below 12090 points. The short-term macroeconomic scenario remains bearish.
As for the US analysis the fundamental scenario that is taking shape on the main global lists, in fact, is not reassuring for investors. They are starting to liquidate “buy” positions on these baskets from their portfolios. The real concern is now not just the green light of Trump of the new duties against Chinese products, but the possibility of an all-out trade war that seems to have become closer.