German Factory Orders Weakened As DAX Testing the January Top
Burc Oran
February 5, 2021
Dax Index
Germany Factory Orders
Germany Factory Orders

Germany factory Orders’ monthly change fall to the negative zone for the first time since April 2020. Tight restrictions straining the biggest economy of Europe but a fast recovery is expected as vaccinations increase.

DAX Futures Generic, Daily Chart, Open Interest, 50-100-day Moving Average
DAX Futures Generic, Daily Chart, Open Interest, 50-100-day Moving Average

While the economy is feeling the effects of Covid-19 restrictions, DAX is testing record-levels which is expanded in January. If the price is able to break 14123 a new bullish surge may happen in early February. But open interest and volume are continuing its decrease as the price moving forward. Despite a short-term surge odds are strong, DAX may weaken in the medium-term if inflation increases faster than expected.

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