DAX30 - Where are we at?
The last few weeks went like a clockwork. Basically every target zone got hit, every support held and the price action matched perfectly into the overall image of my Analysis.
Now, since we have reached an ATH (all-time-high) at ~12.222 the price consolidated - which again - fit perfectly into my Elliot Wave count, as a small correction was overdue. On this note please don't forget that an overheated market is not automatically an occasion to sell!
So what do I expect to happen? Basically there are two scenarios from which I think one is more realistic than the other:
1. A-B-C correction is finished
In this case the DAX30 will break out of the short-term negative trend (red line) and continue it's ride direction North very soon. From there we, once again, go into a 1-2-3-4-5 count which will probably end at around 12.300/20.
As the indicators back this theory I think this is the more likely event to happen.
2. A-B-C is not finished, YET
In this scenario we will have to face a lower low which can be projected near to the last 4 (blue 4). A correction of this extent would not harm the still bullish environment in the DAX30.
Bottom line
I currently have a long position open in most of my accounts, aiming for the 12.300 level.
Now, since we have reached an ATH (all-time-high) at ~12.222 the price consolidated - which again - fit perfectly into my Elliot Wave count, as a small correction was overdue. On this note please don't forget that an overheated market is not automatically an occasion to sell!
So what do I expect to happen? Basically there are two scenarios from which I think one is more realistic than the other:
1. A-B-C correction is finished
In this case the DAX30 will break out of the short-term negative trend (red line) and continue it's ride direction North very soon. From there we, once again, go into a 1-2-3-4-5 count which will probably end at around 12.300/20.
As the indicators back this theory I think this is the more likely event to happen.
2. A-B-C is not finished, YET
In this scenario we will have to face a lower low which can be projected near to the last 4 (blue 4). A correction of this extent would not harm the still bullish environment in the DAX30.
Bottom line
I currently have a long position open in most of my accounts, aiming for the 12.300 level.
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