After a short consolidation in the second week of November, the German DAX index is back in its bullish regime, rising to new record highs above 16,200 EUR, trading 0.6% stronger during the US session today.
Earlier today, Eurostat showed that EU GDP rose 3.7% year-over-year, while the quarterly basis increased by 2.2% in the third quarter. Both numbers met expectations.
Additionally, the yearly employment change increased by 2.0%, up from 1.9% in the previous quarter. These numbers supported German DAX.
As long as DAX remains above the 16,000 EUR threshold, every outlook seems bullish, and investors should buy dips to this zone. The next target for bulls could be at 16,500 EUR, while the 20,000 EUR level is getting closer and closer.
Since the index has never been here, it is hard to define any targets or resistances. However, the index appears a bit overbought and ready for a slight correction.
The short-term uptrend remains valid while the index remains above 16,120 EUR. Additionally, another demand zone could be located in the 15,800 EUR area, where previous highs are located.
DAX daily chart 3PM CET