Binary DAX30 advanced further in yesterday`s session. Optimism or inertia could provoke such moves. Binary traders` optimism is likely to evaporate soon. The effect of the news is almost always temporary and short-lived if not backed by new portion of encouraging events. The inertia is the best explanation of the moves recently. The binary markets have this important facet which is the source of some unexpected moves according to the binary traders` psychology.
Binary options on DAX30 are struggling to push higher today. It will be a crucial trading session because if the underlying asset manages to continue increasing in value, there will be no obstacles to reach new yearly highs. To do so, the binary index has to break above a major trend line drawn from 7170 points through 6900 points. Currently, the binary options are flirting with the aforementioned level. It seems that the uncertainty will be the main driving force in today`s session.
It is possible that the binary instrument be traded in tight range until the subsequent move is triggered. Should the upward direction be printed on the screen, potential targets could be 6800 points, followed by 6950 points.
There are enough arguments to support a downside scenario. Current levels correspond to a trend line drawn through 6515 points. It has been support some 3 months ago. It has become resistance after being broken down. So, the binary traders could realize that the 6515 mark is an significant resistance so far. Moreover, it is 127.2% of retracement from the previous downside move from 6400 points to 6100 points.
The information in this analysis is collected from different sources and should serve for informative purposes only. The author shall not be held responsible for the validity of the presented information. No part of this analysis recommends the purchase or sale of a currency pair or any other financial instrument.