GER 40 Index Weekly Special Report based on 1.00 Lot Calculation:
GER 40 INDEX:
- The GER40 index represents the DAX 40 index in Germany, which includes companies such as Adidas, Bayer, Mercedes Benz, Deutsche Bank, Siemens, BMW, E.ON. etc. In essence, the index includes the most valuable and advanced companies in Germany, the largest economy in Europe.
EVENTS IN GERMANY AFTER RECENT ELECTIONS:
- TUESDAY, MARCH 25: FORMATION OF NEW GOVERNMENT AND PARLIAMENT. The newly elected German Bundestag will hold its first session on March 25, led by CDU/CSU, which, along with the SPD and the Greens have more than two-thirds majority in parliament. Source: Bild
GERMAN FISCAL PACKAGE APPROVAL:
- VOTE ON FISCAL PACKAGE. Germany’s parliament approved plans for a massive spending surge on Tuesday, March 18, throwing off decades of fiscal conservatism in hopes of reviving economic growth and scaling up military spending. The package could boost investor confidence, particularly benefiting companies in the defense, construction, and infrastructure sectors listed in the GER 40. This is expected to enable investments of approximately 500 billion euros investments in Germany’s infrastructure and an additional 500 billion euros in defense. (Source: Reuters)
ECONOMIC CALENDAR:
- MONDAY, MARCH 24 AT 8:30 GMT AND 9:00 GMT: GERMAN AND EUROZONE MANUFACTURING AND SERVICES PURCHASING MANAGERS INDEX (PMI) (MARCH): A stronger-than-expected PMI could signal growth in the European and German manufacturing sectors, boosting corporate earnings expectations and supporting higher GER40 prices.
- THURSDAY, APRIL 17: EUROPEAN CENTRAL BANK (ECB) INTEREST RATE CUT DECISION. The ECB cut its benchmark interest rate in March from 2.90% to the current 2.65%, and investors expect the ECB could continue with their rate-cutting cycle on. If the ECB does decide on an interest rate cut, this could push the GER40 higher, as borrowing costs for businesses could become lower and therefore allow for the economy to grow and expand.
STATISTICS: THE GER40 INDEX HIT AN ALL-TIME HIGH OF 23,736 (MARCH 18, 2025): THE INDEX HAS RISEN AROUND 27% SINCE THE ECB STARTED CUTTING INTEREST RATES IN JUNE 2024. HOWEVER, THE PRICE COULD DECLINE.
GER40, March 20, 2025
Current Price: 23,170
|
GER40 |
Weekly |
|
Trend direction |
|
|
24,600 |
|
|
24,250 |
|
|
23,800 |
|
|
22,600 |
|
|
22,400 |
|
|
22,250 |
Example of calculation based on weekly trend direction for 1.00 Lot1
|
GER40 |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
15,493 |
11,701 |
6,825 |
-6,175 |
-8,342 |
-9,967 |
|
Profit or loss in €² |
14,300 |
10,800 |
6,300 |
-5,700 |
-7,700 |
-9,200 |
|
Profit or loss in £² |
11,961 |
9,033 |
5,269 |
-4,768 |
-6,440 |
-7,695 |
|
Profit or loss in C$² |
22,289 |
16,834 |
9,820 |
-8,884 |
-12,002 |
-14,340 |
1. 1.00 lot is equivalent of 10 units
2. Calculations for exchange rate used as of 12:50 (GMT) 20/03/2025
There is a possibility to use Stop-Loss and Take-Profit.
- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique could protect the profit.