Well, the HnS pattern proved to be a fake one. Dax never started to head lower and just ramped higher after that correction. Typical for a big wave 4, which finished right about where the 4 of an extended wave 3 finished. So that would put us in the final 5th wave. A look at the daily shows that we are getting close to the TL I pointed toward back when DAX was...
In my previous idea I was suggesting that 2 scenarios are on the table - either we topped out the 3/C, or the correction was leading to another bounce. Those are still valid, despite the fact that we dropped and bounced. Possible HnS pattern is lining up on the hourly. I the rally tops in this general vicinity, I would keep an eye out for that. Necline is close...
Not too much to add on the daily. Dax has been following the arrow market in my previous post since testing that all important trend line. On the hourly, we can see that the purple trend line indicated on my previous post - "interesting TL coming up" proved to be very significant. The break generated an impulse higher, then the price came back down and we had a...
It seems that the correction which happened yesterday was only part of the current bounce. Probably a wave 4, since if it would be wave 2, it would mean 3/C would finish a LOT higher. What is interesting is that after resuming the uptrend, DAX met an interesting trend line which stopped it in it's tracks - the purple line shown. Right now this nested wave up can...
The lines I drew in my previous 2 posts played out pretty much as expected. The 2/B was a bit sharper and shook-off quite a few traders on both sides, I'm sure, but bigger picture we had 5 waves up and 3 down. The big question now is if the 3/C is done at the recent high or still has another high to make. So far this wave has been very sharp and nested, so it's...
I mention that since I drew the arrows in my previous idea in the morning I didn't move them at all. Pretty accurate I would say, right? :) Anyhow, the question now is - where do we go from here. Well, we should go up quite a bit in my opinion. Even though the vicious decline from today looks like only 1 wave (the a of the a-b-c), it already retraced more than...
The diagonal proved to be a fake-out, but after taking the presumed ED lows at the time, DAX managed to stage a strong rally, which looks clearly impulsive - 5 waves. Now that tells us that after an a-b-c- retrace, dax should go higher at least in another impulse wave. The current wave looks to be in it's final 5th, and this could extend, but the text-book target...
It looks like this wave wants to chop everyone... It broke 3 times today below the blue TL, but reversed every time. The red TL is no longer important, it was finally overtaken, but the purple TL I highlighted this morning contained all rallies so far, except for brief spikes. Once that goes bulls might get some hope to get to the upper blue TL around 10380ish....
As previously warned, once the 1st TL was broken the 2nd one comes up fast. Down trend looks back, but this is still a chop zone, so risk management must be paramount. Choppy 4th waves can chop a lot of accounts. GL to your trades!
As previously warned the dax looked like a complete A-B-C off the lows. After what looks like an impulsive wave off the highs, we had a rebound which was now almost completely retraced. DAX is testing an interesting TL which held the first impulse down from highs.. if we break that the lower TL comes into focus. Below that the blue B wave low is last line of...
Well, just when we proclaimed that the triangle played out and it broke above, the market pulled a fast one and busted the pattern. I have to admit it was very sneaky to make it look like a triangle up until the last moment.. I guess I should've been more suspicious of the (presumed) very short e wave... Anyway, given the subsequent strong decline, we now know...
DAX seems to be recovering steadily from the recent crash . However I am not convinced that this will be sustained, it looks like we may be witnessing a dead cat bounce in all the stock markets. The rally being heavily influenced by the Chinese rally currently taking place. It seems investors are gaining confidence from the recent gains in the Shanghai...