GER30 future - After previous analysis, DAX was once again unable to test 14131 the all-time high from January 7th. The price zone at 13718 did undercut but we did hold Key support at 13460 resistance line.
Bear scenario:
It is important for bulls that the price zone at 13600 not undercut on a weekly and daily basis. Should this price zone be undercut sustainably, the bears could continue to gain strength and push the bulls back down to 13249 – 13460 then 13000.
Bull scenario:
Bulls can regain their strength and should recapture the price zone of 13990 . If the bulls succeed in doing this and continue to the all-time high at 14131 then the next price targets are at 14294 and then 14440 and 14750.
Trend analysis assume that an initial correction will begin in week 4 and week 5. The market could then come under pressure. The structure of the market currently does not allow a medium term sell-off. This could change over the week but there is no trend reversal in sight. Trend reversal at 13249.
A bear market is when a market typically fall 20% or more from recent highs.
If we break resistance it become support If we break support it become resistance. Buy and Sell confirmation: Bull market don’t buy if the RSI is overbought always wait for pullback. Bear market only sell when the RSI is overbought or wait for a bounce.
Keep it simple and trade with the trend – you will never lose and live 10 years longer!
Bear scenario:
It is important for bulls that the price zone at 13600 not undercut on a weekly and daily basis. Should this price zone be undercut sustainably, the bears could continue to gain strength and push the bulls back down to 13249 – 13460 then 13000.
Bull scenario:
Bulls can regain their strength and should recapture the price zone of 13990 . If the bulls succeed in doing this and continue to the all-time high at 14131 then the next price targets are at 14294 and then 14440 and 14750.
Trend analysis assume that an initial correction will begin in week 4 and week 5. The market could then come under pressure. The structure of the market currently does not allow a medium term sell-off. This could change over the week but there is no trend reversal in sight. Trend reversal at 13249.
A bear market is when a market typically fall 20% or more from recent highs.
If we break resistance it become support If we break support it become resistance. Buy and Sell confirmation: Bull market don’t buy if the RSI is overbought always wait for pullback. Bear market only sell when the RSI is overbought or wait for a bounce.
Keep it simple and trade with the trend – you will never lose and live 10 years longer!
Comment:
GER30 – Feb 4th. Read todays analysis posted this morning – we reached our target AGAIN entry yesterday before closing time at resistance 13871 - targets today at 13999 and 14030 reached. Monday February 1st entry at 13566 until today we have achieved 464 PIP. GER30 Cash market closed at 14060 above Important support at 13990 (check 4 hour chart). It's not the first time I write this but many have been skeptical of this market all the way up and they have sold and sold and sold this market all the way up - and they remain so. The more traders try to short this rally the higher we go. Wait and be patient sell when we have a trend reversal – the market need to prove itself.
Trade active:
GER30 – Feb 5th. This morning I wrote supports are at 14019-14030 -13956. Below that, a serious test of the short-term critical support zone at 13838-13866 points would be likely. Next upside target 14084 - 14132 - 14355. At opening time we reached 14084 from yesterdays support area at 14999. Support at 14019 held today. Since our entry Monday at 13566 until today we have achieved 518 pip. After 5 days rally and A overbought RSI the market needs to cool off, consolidate and pullback. GAPS not filled at 13648 and 13844.
Germany30 and S&P500 Intraday analysis August 23rd. and weekly update 34. Posted at twitter: twitter.com/SP500_Dow
