AEX approaching support, potential bounce! AEX is approaching our first support at 511 where a strong bounce might occur above this level pushing price up to our major resistance at 533 (horizontal overlap resistance, 38.2% Fibonacci retracement, 61.8% Fibonacci extension). Stochastic (55,5,3) is also approaching support and seeing a bullish divergence and we might see a corresponding rise in price should it bounce off this level.
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NL25 trade ideas
AEX approaching support, potential bounce! AEX is approaching our first support at 517.10 (horizontal swing low support, 61.8%, 100% Fibonacci extension ) and a strong bounce might occur above this level pushing price up to our major resistance at 552.37 (horizontal overlap resistance, 50% Fibonacci retracement ). Stochastic (55,5,3) is also seeing a bullish divergence and approaching support where a bounce off this level might see a corresponding rise in price.
AEX approaching support, potential bounce! AEX is approaching our first support at 517.10 (horizontal swing low support, 61.8%, 100% Fibonacci extension) and a strong bounce might occur above this level pushing price up to our major resistance at 533.25 (horizontal pullback resistance, 100% Fibonacci extension, 50% Fibonacci retracement). Stochastic (55,5,3) is also seeing a bullish divergence and approaching support where a bounce off this level might see a corresponding rise in price.
Long slow bullNow that the dutch AEX broke it's 2007 for some time .. what are the new expectations?
This is just a TA based view on patterns and indicators on weekly chart.
As we see the previous two bullruns put into trending channels we can see that the current one is the longest and less strong in terms of run up power.
With the top of 2007 behind us and the ATH of 703.18 it might be an even longer bull.
Leading US indexes have seen a stronger bull and are currently in consolidation phase for another leg up.. lack of selling pressure, multiple bullish patterns forming etc.. wich will drag other indices such as the AEX along with them.
The recent weekly trending channel suggests that for reaching the ATH of 703.18 would not be before 2023! wich brings us into another 4 years of bull at least.. as long global economy is presenting growth and announcing supportive measures wherever needed.
For now.. the bull is still on.
Just ride it.
Another EUROPE stock market that's going bearishAEX is running out of steam and created a zone of rejection at the all time highs. Price is now likely to go down.
What might potentially happen:
- Price goes down to 540 area and bounce back
- Prices goes down to 540 area and break further down towards the 500-510 area.
An Amateurs perspective, AEXHello Tradingview,
I'm an amateur when it comes to TA, I'm involved in Bitcoin and trying my best to learn as much as I can. I would not recommend trading on my analysis, I'd be suprised if anyone even considers it really.
Summary:
What you see here is the AEX weekly and may I say so myself, quite a bearish picture. But Don't forget I am an amateur if any seasoned traders could give their opinions and perhaps tips on my analysis if they think I missed something or am wrong about it then that'd be highly appreciated.
As I see it, it either breaks the .236 extension, which I drew from the bottom of the second wave down to the third wave up or breaks down and starts a mutli-year bear market. As you can see in 2000's we had a similar situation where we reached the .236 extension and made a nice rounded top and broke down starting a multi-year bear market. You can also see a clear Momentum divergence as it neared the end of the 5th wave, which is a requirement in Elliot Waves. Right now we are also doing just that! Wow! AEX is nearing the end of the 5th wave very obviously (if I may say so myself) with momentum divergence, that said it could still break trough the .236 extension and rally onto the .5. My personal approach in this situation would be selling of a decent chunk right here and see if it can still rally further and sell of the remainer there. My first analysis of the AEX and I predict a multi-year bear market to be followed, coming to your homes soon!
Furthermore you can also see an ABC correction on the chart before this bullrally which ended with a momentum divergence which is required for this irregular expanded flat. Another requirement was for wave C to be substiantially beyond the bottom of wave A, AEX is a perfect example. That was my analysis, my two satoshi's on the matter. Hope RTLZ doesn't start ridiculing me on TV. Though if they do, I urge you to sell immediatly.
Conclusion:
Break .236 extension = rally to 0.5 extension plausible (less it gets stopped out before that)
Rejection .236 extension = end of wave 5 and start of wave A in an ABC correction which is another word for the start of a multi-year bear market.
Hope you enjoyed this analysis. I might do an update and try and see if I can predict where the ABC correction might turn around if we get there.
Sell in may but remember September. Retail Investor Cheatsheetwww.investopedia.com
Here we have the Sell-in-may-and-go-away strategy applied to the AEX and what would have happened historically had you used this strategy. I use the monthly chart.
Vertical lines:
Green = Buy (september)
Red = Sell (may)
Rectangles:
Green = profited on the strategy
Red = lost on the strategy
light blue = Holding would have been more profitable than buy/selling for this period of time (notably in clear uptrends)
Overall it looks like this strategy doesn't work for the AEX, though we'd have to calculate our returns and losses to know for sure.
Buy and hold clearly looks like a winner (but remember the secret third step in this strategy ;KNOW WHEN TO SELL; )
Hier is de Sell-in-may-and-go-away strategie toegepast op de AEX index en wat historisch zou zijn gebeurd had je deze strategie gebruikt. U ziet de maandelijkse kaart.
Verticale lijnen:
Groen = Kopen (september)
Rood = Verkopen (mei)
Balkjes:
Licht blauw = Kopen en vasthouden is winstgevend hier.
Over het algemeen lijkt deze strategie niet erg goed te werken, maar we zouden onze winst/verliezen daarvoor moeten berekenen om er zeker van te zijn.
Wel is duidelijk dat Kopen&Vasthouden veel beter werkt, maar vergeet dan niet de geheime 3e stap ;WETEN WANNEER JE MOET VERKOPEN;.