German DAX and the DOW Index

It looks like they, The FED, did not find the rights words on Wednesday. 

After the FED announce they will reduce and finally stop next year the purchase of bonds the stock market dropped like a stone. They speak about bonds and not about stocks but I am sure I miss here something. Fact is the stocks went to the south much more then I have had anticipated. I was quite surprised how many "shaky hands" are in the market. I guess that is the price a market has to pay running on such a high value. It does indicate meanwhile are investors involved who should better put the money on a saving account. 

While the German DAX was still beaten up on Friday, the DOW recovered on Friday. Only 10% of the stocks of the DAX index increased on Friday but 66,7% of the DOW companies and 61.2% of the S&P 500 index could increase their share prices. Based on this the DAX should recover on Monday.

As I wrote earlier the week I expect the market to go up again. The DAX got a sell signal on May 23rd and developed a buy signal this week on Monday. But the FED  sent the DAX further down. When the index will recover next week it might continue to increase. As of Friday the DAX is at the lower end of his positive trend channel like he was in April and November. 

As I said the FED did not find the right wording. The glass is not half empty, the glass is half full.

But as always: just my 5 cents.