DAX (Germany 30) Trading Analysis
DAX (Germany 30) Trading Analysis
Dear traders,
Last time I wrote about EURJPY and so far there has not been much activity here.
I have been monitoring closely this pair and also the EURUSD, where price action has been somehow stifled.
I am finding the FX markets to be quite choppy in the past few weeks.
Hence, this leads me to one of my all time favourite instruments to trade.
DAX (Germany 30) Trading Analysis
It looks like DAX has found a base and is currently looking bullish.
There is a major supply zone just above the current price at 13500.
Therefore, if we see price continuing its move up, that zone should be very closely monitored for a potential reversal.
Today’s price action candle is a pin bar.
This gives me a bullish confirmation and hence I will be looking to go long if the 4H chart confirms that view during tomorrow’s trading session.
I will be looking for a pin bar or a bullish engulfing pattern to signal a potential continuation of the existing uptrend.
Happy Trading,
Colibri Trader
P.S.
Check out my recent article on Parabolic SAR
Hello Colibri,
Personally I cannot make sense of any of these daily closes.
The daily November 19 candle is a clear rejection of higher prices and has been so for the last 3 sessions so far.
It doesn’t seem like anything technical would work atm.
But one tweet can change everything, that’s how rediculous the markets have become.
The only thing to do is wait for an upward break out as the trend is up.
Is sitting on hands a positon of strength ?
Hi Dan, yes it looks like DAX is a bit chaotic recently. But as I posted, it looks like it is getting ready for another uptrend leg. There was a pin bar on the 4H chart last week and I managed to enter into a trade then. So, for now targeting the 13360 level and then I will see depending on price action.
Hi Colibri, what level was that at if you don’t mind, I must have missed that
Hello Colibri,
Looking at the monthly chart, it looks like price has hit a supply zone.
Also a head and shoulders pattern taking effect forming right shoulder.
Also heavy neg divergence on this time frame is a substantial thing not seen often.
S&P500 has an open gap on monthly chart Oct to Nov
As always trade what you see, these are just comment s and not even my opinion or bias
as havng one of those is lethal.
Chat soon
https://www.tradingview.com/x/tOF6G0my/
Hi Dan, that is not how I am using supply and demand zones unfortunately. I am looking for something else, so for now it could be a long setup still. As in fact I am long atm, as explained in the previous response to your comment. Let’s see where price will take us, but IMHO it is a wee bit too early to call for a top. I am waiting to see how price will react with 13600 level.
Cheers,
Colibri
Hi,
Def not calling a top just that bear engulf candle I mentioned above got me thinking, I guess in a bull market these things have less importance
Hello Colibri,
We now have confirmation that the Daily Range was in fact a Distribution move.
Who would have known right ?
BUT 1500 pt run up without a significant pull back could have been a background clue.
You mentioned that it was too soon to call a top but in all honesty / subconsciously I was thinking that.
Not many want to stick thier neck out and call a top and it is foolish as these things have a very low probability of working out.
I have not called a top but in this enviornment I will say that there will be more downside ALL according to charts and NOT a bias
That can change with news driven slurring releases though as is almost becoming a daily occurence.
Positive then followed by negative, quite laughable and WHY it is allowed ?
Take noticed of the timing: Bad when traders are commited long and Good when traders are commited short.
It’s too obvious, I hope your not going to try to convince me otherwise. If you do I will unfriend you on facebook
🙂
Anyway … you have always given good commentary and the least I can do is act in kind
Safe Trading
https://invst.ly/oyddd
Hi Dan, sometimes you miss a move, other times you are in a great move. This one still managed to offer a few good. This one was probably the best place to enter:
https://www.colibritrader.com/germany-30-dax-trading-analysis-7/
Other than that, what can I say- we were in a major bullish environment. But let’s not forget that after a bullish market a bearish follows, so I am looking for signs around 13500 unless we have a breakout, which is also very likely. I am not doing anything special, but just looking at price action and the “good levels”. If sometimes things look confusing, step away for some time and when you come back you will see the market in a completely new light! Trust me, it works 🙂
Have a great day,
Colibri
Hi Colibri,
13500 or 12500 ?
13500 for a bullish breakout. So far it is looking more bearish to me than bullish, but trying to stay on the sidelines until a major level is reached