Welcome to Extreme Investor Network: Your Source for Expert Views on the Stock Market
As a leading commentary on the global capital markets, we are here to provide you with valuable insights and analysis to help you navigate the complexities of the stock market. Today, we will be focusing on expert views on the US labor market and its impact on the stock market.
According to The Kobeissi Letter, a respected industry source, there is evidence suggesting higher unemployment is on the horizon. US consumers’ perceptions of the labor market have weakened to the worst level since 2021, which historically has been a leading indicator for unemployment. This is a clear sign that the labor market is trending towards a recession, with the unemployment rate potentially increasing towards 5.5% in the coming months.
Understanding the Near-Term Outlook
When it comes to near-term trends in the stock market, particularly the DAX, much will depend on the US labor market numbers and services sector data. Weaker figures could fuel expectations of a US economic recession, potentially pushing the DAX down towards 18,000. It’s also important to consider economic data from Germany, as weak stats could influence buyer appetite for DAX-listed stocks.
Currently, the futures markets show a downward trend for the DAX and the Nasdaq mini, with disappointing Services PMI numbers from China adding to the negative sentiment. It’s crucial for investors to stay alert with central bank speakers, monitor economic indicators, and keep an eye on expert commentary to effectively manage trading strategies.
At Extreme Investor Network, we provide the latest news and analysis to help you stay informed and manage your risks effectively in today’s volatile market environment.
Exploring DAX Technical Indicators
Daily Chart Analysis
Looking at the technical indicators for the DAX, we see that the index has held above the 50-day and 200-day EMAs, signaling bullish price movements. A breakout above 18,750 could lead to a return to Tuesday’s high of 18,991, with potential for a further push towards 19,000.
On the flip side, a drop below 18,650 could indicate a downward trend towards the 50-day EMA, with further support at 18,250. The 14-day RSI at 60.90 suggests a potential move towards Tuesday’s high before entering overbought territory.
With US labor market data, German services PMI numbers, and central bank commentary playing key roles in market movements, it’s essential for investors to stay informed and adapt their strategies accordingly.
For more in-depth analysis and expert insights on the stock market, make sure to visit Extreme Investor Network regularly. Our team of experts is dedicated to helping you make informed investment decisions and navigate the ever-changing landscape of the stock market.