In our previous analysis, we’ve mentioned the potential head and shoulders pattern which has been created on the German index DAX. It seems that the neckline in this pattern has been broken and the index has dropped to the lowest level since the third week of December 2020.
Thus, the mild bearish scenario seems to be completed, but the more aggressive bearish target is set even lower. The textbook target is located around 13146. If the market won’t come back soon above 13800 the bears may take control and push DAX lower.
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Daniel Kostecki, Chief Analyst Conotoxia Ltd.
Materials, analysis and opinions contained, referenced or provided herein are intended solely for informational and educational purposes. Personal opinion of the author does not represent and should not be constructed as a statement or an investment advice made by Conotoxia Ltd. All indiscriminate reliance on illustrative or informational materials may lead to losses. Past performance is not a reliable indicator of future results.
76.44% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Thus, the mild bearish scenario seems to be completed, but the more aggressive bearish target is set even lower. The textbook target is located around 13146. If the market won’t come back soon above 13800 the bears may take control and push DAX lower.
_______
Daniel Kostecki, Chief Analyst Conotoxia Ltd.
Materials, analysis and opinions contained, referenced or provided herein are intended solely for informational and educational purposes. Personal opinion of the author does not represent and should not be constructed as a statement or an investment advice made by Conotoxia Ltd. All indiscriminate reliance on illustrative or informational materials may lead to losses. Past performance is not a reliable indicator of future results.
76.44% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
