German Index Futures (EUX.FDAX) dropped -0.2% on its third successive decline during Thursday's session to close the day at 6763. On the other hand, U.S. Markets performed well, as the S&P 500 Index (SPX) gained six points to close at 1,360.55. The Dow Jones Industrial Average (DJIA) finished at 12,581.98, up 0.44%. The Nasdaq Composite (NASD) performed the best, rallying 1.3% after getting a boost from Banc of America Securities' chip sector upgrade. Is it time for EUX.FDAX to climb out of its recent dip?
Q: How has EUX.FDAX performed in the past, omitting repeat occurrences within 10 trading days, when it records its second successive decline while all three major U.S. Indices (SPX, D& NASD) post a rally?
A: According to the nine previous occurrences of this event, EventEdge indicates that EUX.FDAX has shown a strong bullish edge that peaks four trading days after the event. Thus, the projected date for the peak of the bullish edge relative to the current event date (Thursday, April 10, 2008) is Wednesday, April 16, 2008.
EUX.FDAX rallies in 100% of the cases (9 of 9) by an average of 1.7% relative to the close on the event date. Which, based on the close of EUX.FDAX on the event date (6763), provides a target price of 6878.
If you would like to see more details of this historical edge, go to www.markethistory.com
Click on the link below to see another bullish idea on EUX.FDAX published earlier this month.
Ronish Patel is an analyst with MarketHistory.com.
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German DAX Index Futures -- Momentum not Stalled Yet - April 1, 2008
