CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure. CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure.

DAX finishes higher, Dow and Nasdaq up this morning

Traders await crucial US data and any continuity hints from the Fed.

Dow Technical analysis, overview, strategies, and levels

The Dow was in for an intraday move higher but retraced back down by the end of the session, keeping its bull trend technical overview intact but stalling at the highs ahead of big items in store for today, not just in terms of data with preliminary GDP (Gross Domestic Product) for Q1, but also the Federal Reserve's (Fed) decision thereafter, even if it may be more about continuity of the current programs in place. Merck was at the bottom of the Dow's components suffering the biggest contraction despite better than expected earnings, and today it'll be Microsoft and Boeing’s turn (which according to reports is working on issuing bonds to raise funds). In terms of performance the energy sector enjoyed the biggest percentage gains, while health care, communication, and tech showed the largest contractions.

IG client* and CoT sentiment for Dow

Dow chart with retail and institutional sentiment

Nasdaq Technical analysis, overview, strategies, and levels

Unlike the Dow, the Nasdaq's price failed to reach its upper pivot point, staying within its main ranges and underperforming with a weaker finish. In earnings, Alphabet's (Google) share price surged after hours after its quarterly revenue beat analysts' estimate, while AMD share prices dropped more than 4% after it lowered its full-year sales forecasts. We've got more earnings in store today, with Microsoft, Facebook, Tesla, and eBay.

IG client* and CoT sentiment for Nasdaq

In terms of sentiment, retail traders were beneficiaries of the recent move, with fresh averaged-in shorts swift to close out and take majority short bias down from 61% to 56%, still opposite that of larger speculative traders (according to last week's CoT report) holding a slight majority long 54% bias.

Nasdaq chart with retail and institutional sentiment

DAX Technical analysis, overview, strategies, and levels

Unlike US indices, the German DAX was in for a higher finish, even if it failed to offer any pivot point action. Most of its components finished in the green by the end of the session including Deutsche Bank and auto companies, with only a handful in the red where the losses were greatest for Wirecard suffering a 26% drop in its share price after its comments regarding KPMG's special investigation into the digital payments firm.

IG client* and CoT sentiment for DAX

The price moves higher are making it difficult for shorts to close out, with retail bias slightly down on yesterday's 67% heavy short bias, and where nearly all those shorts have been initiated below the current market price.

DAX chart with retail and institutional sentiment

*The percentage of IG client accounts with positions in this market that are currently long or short. Calculated to the nearest 1%, as of today morning 8am.

Be sure to request IG’s Weekly & Daily Market Report when you open an account with IG Dubai and get access to the full information on the FX majors, commodities, indices, and Bitcoin.


This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.

See an opportunity to trade?

Go long or short on more than 17,000 markets with IG.

Trade CFDs on our award-winning platform, with low spreads on indices, shares, commodities and more.

Live prices on most popular markets

  • Forex
  • Shares
  • Indices
liveprices.javascriptrequired
liveprices.javascriptrequired
liveprices.javascriptrequired

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Friday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.