From the chart it seems DAX is in the wave 4 of the cycle that has started on the 3/22. The index should end this correction between 12150 and 12050 to reach 12500 then.
The trade is a bit risky due to past events but the R/R ratio is very interesting, so the plan is to observe the reaction of price in the area and open a trade if it is positive.
However, if DAX closes below this area, it would be very bearish for the index.
Comment
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correction in WXY should end and see the start of wave 5 OR the invalidation of the scenario
Trade closed: stop reached
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Comments
mjk123
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just what i am looking for-seems very logic---and then sell in may?! best trading!
sehinz
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@mjk123, you can find in "related ideas" just above my trading plan for DAX for the next months.
If the 12500 are hit, it will complete the wave 3 of a larger cycle and a wave 4 will begin.
Depending of the depth of the correction, it will validate that scenario and see a wave 5 then.