Low Volatility

Dear traders,

Both euro and British pound ended the day slightly higher against the U.S. dollar Monday while volatility remains at very muted levels. We brace for higher volatility on Thursday and recommend traders taking profits at smaller targets today and tomorrow.

DAX

The rally lost some momentum recently and while we still see slightly higher levels, there is no significant bull breakout. Above 15770 we may see a test of 15800 but given low volatility levels we do not expect exaggerated movements. Below 15750, chances are in favor of a correction towards 15500 and 15200.