Forex Technical Analysis:DAX Could Prepare To Rally Through 9800

Bottom line:  DAX might have carved an interim low around the 8255 levels yesterday. Bulls…

Bottom line:  DAX might have carved an interim low around the 8255 levels yesterday. Bulls might be preparing for a counter trend rally towards 9800 levels at least.

Technical Analysis:

DAX has produced extreme volatility yesterday after dropping considerably below the 8700 levels yesterday. Please note that we had discussed and expected DAX to drop towards 8700 levels last Friday, to terminate Wave 3 before producing a counter trend rally. Bears have managed to drop towards 8255, way below 8700 levels yesterday, before pulling back sharply. Looking at the recent wave counts, DAX has produced Waves 1, 2 and 3 since 13800 highs. Wave 1 terminated at 11600 levels followed by a shallow Wave 2 termination around 12207. Wave 3 projections were around 8700 levels but DAX has terminated much lower at 8255 levels. It is seen to be trading around 8750 levels at this time in writing and is expected to rally towards 9800 at least to terminate Wave 4. Please note that since wave 2 was an expanded flat, Wave 4 could be sharp rally towards 9800 before reversing lower to produce Wave 5 lower again. Also note that we are projecting Wave 4 to terminate around the fibonacci 0.382 retracement of Wave 3, which is ideally the case. If the above wave counts hold, a counter trend rally towards 9800 levels is expected to begin soon. Most traders might be willing to take some profits on the short positions taken earlier and remain flat. After Wave 4 is complete, DAX is expected to reverse lower to produce Wave 5 below 8200 levels. Ideally prices should remain below the 11600 mark, for the above scenario to hold. Watch out for a potential counter trend rally to materialize soon and reach 9800 levels at least.

Prepared by

Harsh Japee, Technical Analyst.

 

DAX Chart

 


MyFxtops 邁投 (www.myfxtops.com) -Reliable Forex Copy Trade community, follow the master for free to trade!

Disclaimer: This article is reproduced from the Internet. If there is any infringement, please contact us to delete it immediately. In addition: This article only represents the personal opinion of the author and has nothing to do with Mato Finance The originality and the text and content stated in this article have not been confirmed by this site. The authenticity, completeness and timeliness of this article and all or part of the content and text are not guaranteed or promised. Please refer to it for reference only Verify the content yourself.

Copyright belongs to the author.
For commercial reprints, please contact the author for authorization. For non-commercial reprints, please indicate the source.

 

MyFxtops迈投(www.myfxtops.com)-靠谱的外汇跟单社区,免费跟随高手做交易!

 

免责声明:本文系转载自网络,如有侵犯,请联系我们立即删除,另:本文仅代表作者个人观点,与迈投财经无关。其原创性以及文中陈述文字和内容未经本站证实,对本文以及其中全部或者部分内容、文字的真实性、完整性、及时性本站不作任何保证或承诺,请读者仅作参考,并请自行核实相关内容。

著作权归作者所有。
商业转载请联系作者获得授权,非商业转载请注明出处。

本文来自网络,不代表迈投财经立场,转载请注明出处:http://www.myfxtop.cn/analysis/25014.html

为您推荐

联系我们

联系我们

在线咨询: QQ交谈

邮箱: myfxtop@hotmail.com

9:30 - 18:00/Mon-Fri
返回顶部