Elliott Wave DAX - Bulls or Bears ?
When we look at the indices from the beginning of the year, we can see just a bearish mood across the globe. The critical question everyone asks is this: Is it safe to hold indices or not yet?
From the 4H chart, we see that decline from November 2021 into March 2022 looks corrective. I'm going with the idea of completing FLAT correction as the primary wave count. From March till now, we have a potential 5-3 setup that could easily be the beginning of the next motive leg. Correction inside wave (2) looks almost completed. We have tested equal legs between C and A, and you can count a practically completed 5-wave structure in C. We need a minimum break above 13561 or a motive pattern on a smaller time frame to get confirmation.
While the price remains above 12435.61 (current end of wave (C)), I would love to see the price reaching 14000 and ideally 15646 (equal legs between (1) and (3)).
Alternate Count
With the current situation in Ukraine, the German economy suffers a lot of losses, so it wouldn't be impossible that we are still in a larger correction. For an alternate plan, going with the idea of Double Three (W)(X)(Y), and if we break below 12435, we can look for the next potential support around 11000 regions.
At the moment, the bullish scenario looks more attractive, but whatever happens, the gameplay is the same. Pullback plays towards the next levels are the best option.
From the 4H chart, we see that decline from November 2021 into March 2022 looks corrective. I'm going with the idea of completing FLAT correction as the primary wave count. From March till now, we have a potential 5-3 setup that could easily be the beginning of the next motive leg. Correction inside wave (2) looks almost completed. We have tested equal legs between C and A, and you can count a practically completed 5-wave structure in C. We need a minimum break above 13561 or a motive pattern on a smaller time frame to get confirmation.
While the price remains above 12435.61 (current end of wave (C)), I would love to see the price reaching 14000 and ideally 15646 (equal legs between (1) and (3)).
Alternate Count
With the current situation in Ukraine, the German economy suffers a lot of losses, so it wouldn't be impossible that we are still in a larger correction. For an alternate plan, going with the idea of Double Three (W)(X)(Y), and if we break below 12435, we can look for the next potential support around 11000 regions.
At the moment, the bullish scenario looks more attractive, but whatever happens, the gameplay is the same. Pullback plays towards the next levels are the best option.
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