Skip to content

We want to clarify that IG International does not have an official Line account at this time. We have not established any official presence on Line messaging platform. Therefore, any accounts claiming to represent IG International on Line are unauthorized and should be considered as fake.
CFDs are complex instruments. 72% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.
CFDs are complex instruments. 72% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.

Trade of the Week: long DAX 40 index

Since the DAX 40 last week held at key technical support, we would like to go long the index at 15,700 with a stop-loss at 15,400 and an upside target of around 16,400.

Video poster image

(Video Transcript)

DAX 40 futures index looks promising

Hello and welcome to this week's Trade of the Week on Monday, 21 August 2023. Last week my colleague, Chris Beauchamp, went long the DAX contracts and as you can see here unfortunately he got stopped out because the DAX index continues to slide.

So despite that I would like to go long this week the DAX 40 index and the reason for that is that I believe the three-way corrective move we've seen since the early August highs has probably run its course now because we tested the support seen back at the beginning of July and have held there.

German index climbing high

Today we are seeing some upward momentum and I'd expect this to continue perhaps in low-volume trading over the next few weeks as a lot of people are still on holiday but I do think, from a technical perspective, that we are above the 200-day simple moving average which you can see here in red and that we are likely to hold in this support area and that we may be heading back up again towards the high seen between May and August of this year.

So this week's Trade of the Week is to go long the DAX 40 index at 15,700 or so with a stop loss just below the 200-day simple moving average at 15,400 and an upside target around 16,400. Thanks for watching.


This information has been prepared by IG, a trading name of IG Markets 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.

Seize your opportunity

Deal on the world’s stock indices today.

  • Trade on rising or falling markets
  • Get one-point spreads on the FTSE 100
  • Unrivalled 24-hour pricing
Find out more

See opportunity on an index?

Try a risk-free trade in your demo account, and see whether you’re on to something.

  • Log in to your demo
  • Try a risk-free trade
  • See whether your hunch pays off
Log in now

See opportunity on an index?

Don’t miss your chance – upgrade to a live account to take advantage.

  • Get spreads from one point on the FTSE 100
  • Trade more 24-hour indices than any other provider
  • Analyse and deal seamlessly on smart, fast charts
Log in now

See opportunity on an index?

Don’t miss your chance. Log in to take your position.

Take advantage

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

You might be interested in…

<h3>How much does trading cost?</h3>
<h3>Find out about IG</h3>
<h3>Plan your trading</h3>

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.