[Premium] Three Charts For The Week Ahead

JC Parets
March 13, 2021

We retired our "Five Bull Market Barometers" in mid-July to make room for a new weekly post that's focused on the three most important charts for the week ahead.

This is that post, so let's jump into this week's edition.

Last week we focused on US Dollar Index, Crude Oil & Aluminum.

Let's move into this week's topics.

1.  The first chart we're looking at is the German stock exchange DAX. DAX claimed new all-time highs in the week gone by at a time when more questions are being raised on the strength of the current market rally. Well, Germany making new highs is definitely a positive sign for the bull rally, not a negative one!

We are bullish above levels of 13,600 with a target near 17,720.

Click on chart to enlarge view.

2. The second chart we're looking at is France. Following Germany's positive move, CAC 40 is taking another go at the long-term resistance of 5,775. A sustained move above this level would lead to a massive 19-year breakout.

We're watching closely to see if the price holds above the level of 5,775 and progresses towards 6,400.

3. The third chart we're looking at is Nikkei 225. A breakout and a successful retest of support is Technical Analysis 101. Is that what we're seeing in Nikkei 225? Most likely. A strong move above 28,975 could take this index to historical levels of 36,780.

No one is saying that will happen immediately, but long-term breakouts, powerful ones, have the tendency to march on with great strength. We're tracking this space to see if that will play out here. Subsequently, this would have a positive impact on the Asian indices as well.

In our view, these charts will help set the tone for this week and provide us information on how we should approach the market in the coming weeks.

Also, make sure to check out our other weekly post, "Trade Of The Week."

Thanks for reading and please let us know if you have any questions.

Allstarcharts Team

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