DAX: Bearish BUTTERFLY

DAX: Bearish BUTTERFLY - Beyond the technical aspect, we can see that the DAX will spark a huge bullish rally following Madame Lagarde's interest rate hike announcement. As far as I remember, interest rate increases rarely increase 1% at the same time. Today's excuses for "buying rising rates" include: “We buy because we feel the upward cycle is over, and this makes stakeholders happy.”

But no one brings up the fact that we didn't expect this raise. Because we had the same feeling at the previous ECB meeting - that there would be no more rate hikes - and today we share the same story and everyone believes it. There is something rotten in the merchant kingdom, and if they realize it, the sanctions will be terrible.

Comment:

still valid