Good morning traders, it’s Tuesday the 16th of June and time for today’s 16-06-2020 German DAX 30 analysis. Yesterday I talked about how the market was bearish below 12175. Despite this, we saw the market close above 12,000 and then this morning, we’ve gapped above that trend-defining level and broken that bearish trend. So after 6 consecutive bearish sessions, we’re now seeing the market come back to life again.
Today i’m keen on watching how the market responds to a pullback. Will the gap close? If so, will the 11,950 hold price for another rally?
DAX 30 Review From Last Session
During the last session, we saw the DAX 30 get to a session high of 12100 and a session low of 11590 giving us a range of 510 points compared to the average daily range of 345. At the close of play last session, the market closed at 12081 which was 296 points above the 200EMA and 608 points above the 50EMA.
16-06-2020 DAX 30 Analysis – Bias
The DAX is currently Neutral.
The DAX 30 Index index is currently Neutral with no specific trend. In fact we are pretty much range bound between 11590 and 12333, so we can either look to fade the two extremes assuming the range trading continues, or wait for a breakout above 12333 or below 11590. The issue with a netural market, is that we can’t really use the DAX trading strategy with much positive expected value (+EV).
16-06-2020 DAX 30 Analysis – Key Levels
Moving on to the key levels to watch today, watch out for the previous session Point of Control (POC) at 11935 and the previous session Volume Weighted Average Price (VWAP) at 11851. The value area high (VAH) is currently 12100 and the value area low (VAL) is currently 11795.
|Stochastic||K: 47 and D: 37|
|Point of Control (POC)||11935|
|Value Area High (VAH)||12100|
|Value Area Low (VAL)||11795|
|The DAX Pivot||11924|
|The DAX R2||12434|
|The DAX S2||11413|
|Daily 5 EMA||12187|
|Daily 8 EMA||12199|
|Daily 50 EMA||11473|
|Daily 200 EMA||11785|
My Trading Update
As for my index trading; during the last trading session I took a total of 2 trades, so it was a pretty quiet session (1 DAX trade and 1 FTSE trade). Breaking down my DAX trade, 0 were from the DAX trading strategy (DTI) and 1 was from the regular morning DAX signal. Breaking down my FTSE trade, 0 were from the DAX trading strategy (DTI) and 1 was from the regular morning DAX signal. Overall, I hit 2 winners, 0 losers, and 0 break-even trades. This gave me a total profit of 6% for the day.
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