German DAX Index Movement Forecast
DAX Fundamental Perspective
The German DAX index declined slightly for the third consecutive day, reaching 24,100 points on Thursday, reflecting the prevailing caution in Europe amid continued uncertainty surrounding the progress of peace talks between the United States and Iran.
Oil prices also rose amid ongoing tensions in the Strait of Hormuz, keeping inflation concerns alive.
Investors also digested new Purchasing Managers' Index (PMI) data and a series of corporate earnings reports.
The German private sector contracted for the first time since May 2025, and by the largest amount since December 2024, amid the fallout from the Iran war.
Among the major stocks affected, SAP shares fell by more than 3% ahead of its quarterly results announcement later in the day.
DAX Technical Perspective
The German DAX is trading within a descending price channel on the four-hour timeframe, after breaking below the upward trend line and closing below it. The index could be sold again if it reaches the upper limit of this channel near the 24400 level.
Our initial target would then be 23800, followed by 23550, and finally 22850 points.
