13-08-2018 Dax Technical Analysis

Good morning traders. The Dax is now officially trading in bear market territory after breaking the 12,455 level. The market is now technically bearish below 12,734 and today, we expect for the market to open much lower again, perhaps closer to 12,300 (prices are based on the September futures contract).

As far as trading strategies are concerned, I am setting my BBRSI strategy to ‘bearish’. This will mean any long signals from the strategy will need at least 4:1 reward. The indicator and the instructions for how to use this strategy are available to members on the forum.

Turkish Crisis Hits The DAX 30

Since the beginning of the year, equity markets have been struggling to find a direction as political risks and robust earnings growth are offsetting and complicating the investment environment.

The currency crisis in Turkey hit equity markets on Friday.

ECB Banking Supervision was already concerned about possible contagion effects, according to a Financial Times report. As a result, stocks of major Turkish banks such as the Spanish BBVA , the Italian UniCredit and the French BNP Paribas came under pressure. Even German banks could not escape this.

The European banking sector was one of the weakest sector indices in Europe, losing around 2%. Although German banks are less committed to Turkey than other European companies, according to market experts. For the German Dax this week, the main focus will be on the ZEW indicator published on Tuesday.

13-08-2018 Dax Video

13-08-2018 Dax Charts

All charts are drawn using Sierra Charts.

I upload my chartbooks to the forum, so if you want copies of my custom studies, indicators, line sets etc, they are available there. If you are interested in purchasing Sierra Charts, feel free to use this link.

View post on imgur.com

• This chart is the 60-minute futures chart
• The ‘455 level was broken meaning that the new trend defining level is 12734. We are bearish below this level.
• The ACR line set reaction line was reached at the same level as the fork Median line.
• Potential downside targets are the LMLH (lower median line parallel).

View post on imgur.com

• This chart is the daily profiles chart showing the exposed POCs (Points of Control)
• Potential downside targets are the exposed POC at ‘228

13-08-2018 Dax Key Levels

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KEY LEVELS (MINI DAX)
POC *	12420
Value Area High	12497
Value Area Low	12393
VWAP	12469
IB High	–
IB Low	–
R2	12715
S2	12225
Pivot	12470
Camarilla Breakout (Bull)	12544
Camarilla Breakout (Bear)	12274