DAX Technical Analysis Articles

Find the most recent DAX analysis articles below, or you can jump to a year of your choice by selecting one of the options from the menu below:

DAX Trend-Defining Level Under Pressure

DAX Trend-Defining Level Under Pressure

Friday Jan 29 2021

Pretty terrible day, cut incredibly short by my DTI trading strategy hitting 5 stop losses within the first two hours of trading, so I took that as an opportunity to close out the daily signals at breakeven and walk away and take some time away from the market.

Sometimes it’s good to walk away when conditions are not great. Otherwise there is a risk that the trading and the analysis will become frustrating and lead to bigger mistakes. 

Your trading plan should allow for these ‘walk away’ conditions.

DAX Trading Signals Update Jan 29 2021

Jan29-2021-Daily-Signals

DAX Trading Strategy Update Jan 29 2021

Jan29-2021-DTI Trading Strategy

Thursday Jan 28 2021

It’s all about cryptocurrency at the moment, I’m really enjoying my trades over there! I’ve got a nice bag of various ones now which i’ve been accumulating since 2017 and it’s great watching the new technologies start to emerge.

As for the equities, it’s just business as usual.

On the daily signals, I took a couple of stops in the first session with both shorts losing out, but the longs in the afternoon session did well. They ran to 8pm, so I closed them both for a gain. As for the DTI trading strategy, I had a couple of stops on FTSE and a nice target on the DAX. The morning setups were ignored because of yellow candles and a failure to retrace back to vwap.

Yet another solid day!

DAX Trading Signals Update Jan 28 2021

Jan28-2021-Daily-Signals

DAX Trading Strategy Update Jan 28 2021

Jan28-2021-DTI Trading Strategy

Wednesday Jan 27 2021

Let’s update the chart, what is DAX telling us? “Just when I thought I was out…. they pull me back in!”

The movie quotes were out yesterday and today we have another, name the film? Too easy? Well, this quote describes the German DAX’s recent failure to hold above the ascending channel resistance. It failed spectacularly. But we don’t really care for directional bias, because we trade long or short – so this failure provided some excellent trading opportunities and congratulations to the rest of you that capitalised. As far as trend analysis goes, the DAX is no longer in a bull market after breaking below its trend-defining level. 

The morning signals yielded TWO targets (one on DAX and one on FTSE) after the initial DAX stop loss. Superb. But wait. There’s more! 🙂 The trading strategy also gave a nice +4% too.

So today, we grabbed THREE nice targets to compensate me for three-stop losses. Very happy with the result.

 

DAX Trading Signals Update Jan 27 2021

Jan28-2021-Daily-Signals

DAX Trading Strategy Update Jan 27 2021

Jan28-2021-DTI Trading Strategy

Tuesday Jan 26, 2021

The DAX roars back into life, smashing through the descending channel resistance, slamming a daily engulfing candle down on the table, forcing a direct glare into the eyes of every doubter, and Gladiator shouts “are you not entertained?!” What a great result for the German DAX today. So now, us greedy traders are all quoting Andy Dufresne from the Shawshank Redemption “And if youve come this farmaybe youre willing to come a little further” and expecting another rally, to break to yet another all-time high. We’ll see if that’s likely by watching the price action reaction over the rest of this week.

Onto the trading results. How did we do? Well, the best result came from the DAX trading signal this morning in the signal channel. The trade ran for the whole day so I closed it this evening around 8pm for +1.3%. That gain covered the stop loss I had from the FTSE signal.

And the DTI trading strategy was pretty quiet today. In fact I didn’t have any DAX trades at all, because before the 9am start, I noticed price had tagged the deviation high and failed to retrace back to VWAP. Those conditions make it less probable for my setups to work out, so I choose to ignore them. You’re obviously welcome to create your own trading rules to take those trading signals. As for FTSE, I did take a trade, long, but it was closed at breakeven after reaching 2R profit.

Overall, quiet day on the trading front, there’s always tomorrow.

DAX Trading Signals Update Jan 26 2021

Jan27-2021-Daily-Signals

DAX Trading Strategy Update Jan 26 2021

Jan27-2021-DTI Signals

Monday Jan 25, 2021

Since the high on 8th January, the German DAX has posted consecutive short-term lower lows and lower highs and is now challenging the major low posted on the 5th January. However, the ascending channel that we’ve discussed over the past couple of weeks is still holding and is expected to hold at least once more. In order for the bull market to continue, we need to break the ascending channel resistance and break above the short-term lower highs.

The trading session was excellent on Monday. The DAX daily signal smashed target easily for +3%, but the FTSE didn’t quite get there, so I closed it at 8pm for +0.5% gain. And the trading strategy provided some fantastic setups too. I had a stop loss from the DTI trading strategy with FTSE early in the season, but everything else worked perfectly. DAX and FTSE hit their targets for +4% each (although I was very fortunate with the DAX, as the retracement to vwap was borderline). A superb day to start the week!

DAX Trading Signals Update Jan 25 2021

Jan26-2021-DTI Signals

DAX Trading Strategy Update Jan 25 2021

Jan26-2021-DTI Signals
DAX in Short-Term Descending Channel

DAX in Short-Term Descending Channel

Friday Jan 22, 2021

The DAX remains bullish above 13566 and currently challenges the ascending channel resistance drawn on the featured imaged image above from the beginning of the week.

I had a pretty mediocre week for trading results this week, no major gains and no really interesting situations. It was a grind, some weeks are like that. Today was disappointing with 4 stop losses and only two small winners from 8pm closes at the end of the session. Overall, down for the day. Let’s draw a lin under it and move on.

DAX Trading Signals Update Jan 22 2021

Jan22-2021-Daily Signals

DAX Trading Strategy Update Jan 22 2021

Jan22-2021-DTI Signals

Thursday Jan 21, 2021

The German DAX threatened to reclaim its bullish momentum and reignite a rally yesterday by temporarily breaking above the descending channel, but instead falls back inside.

As for trading the DAX and FTSE, the daily signals saved my session. I had a short on both and they ran to the end of the session allowing me to close them both out for a small gain, nice and easy with no need to get too involved. This was in contrast to a difficult day on the DTI trading strategy. Remember that my limits on DTI are two FTSE stops and three DAX stops per day. Well, I had four stop losses today, two on FTSE (so I walked away from that) and two on DAX. But I entered a fifth and final trade which hit target and made up for the earlier stops! I’ll take that

DAX Trading Signals Update Jan 21 2021

Jan21-2021-Daily Signals

DAX Trading Strategy Update Jan 21 2021

Jan21-2021-DTI Signals

Wednesday Jan 20, 2021

Quiet day in terms of trading, I took two longs from the daily trading signals which both run until the end of my session. So I closed them both at 8pm for a small gain. The DTI trading strategy was also quiet, with just two trades taken, one of which was a stop and the other closed at breakeven.

DAX Trading Signals Update Jan 20 2021

Jan20-2021-Daily Signals

DAX Trading Strategy Update Jan 20 2021

Jan20-2021-DTI Signals

Tuesday Jan 19, 2021

We are still contained within the descending channel on the DAX, and i’d like to see whether we continue to find resistance at the top and support at the bottom.

Yesterday I took one stop from the morning signals and one breakeven stop, so pretty slow day. The stop loss was from a DAX short which filled early and tagged the stop loss shortly before midday. The FTSE trade was stopped at breakeven.

As for the DTI trading strategy, there were a lot of situations where I ignored the signals because of the yellow vwap candles. I took two trades, both on DAX. Once was a stop loss and the other hit target. I was pretty lucky to take the second trade, because it happened quite quickly after the first once was stopped.

DAX Trading Signals Update Jan 19 2021

Jan18-2021-Daily Signals

DAX Trading Strategy Update Jan 19 2021

Jan18-2021-DTI Signals

Monday Jan 18, 2021

The long-term technical trend for the German DAX is still bullish above the 5th January low, ~13,566 but DAX in short-term descending channel. In order for the overall bull market to continue, we need to continue printing higher highs and higher lows. The trend defining level needs to hold and we need a new all-time high. No pressure.

As for trading, it was a three-stop day, one break-even and lots of ignored situations, thanks to the yellow candles.

Jan18-2021-Daily Signals
Jan18-2021-DTI Signals
DAX30 Remains Bullish Above 5th Jan Low

DAX30 Remains Bullish Above 5th Jan Low

Friday Jan 15, 2021

BAMM! Two back-to-back winners on the DTI trading strategy (one for the DAX and one for FTSE) giving +4% gain each. So that more than makes up for the earlier, very small, stop losses. Nice end to the week.

Daily Signals

Jan15-2021-Daily Signals

DTI Strategy

Jan15-2021-DTI Signals

Thursday Jan 14, 2021

The descending broadening wedge has broken to the upside and we have an upsloping supportive trendline visible on the lower timeframes. Overall, the market is in a short-term consolidation which is a negative for trend-following momentum-based strategies.

Another difficult day in terms of trading conditions, but I managed to claw back some of the earlier losses with the final trade of the day, so it wasn’t completely terrible. The DAX daily signals gave two stop losses and the FTSE daily signal was closed at breakeven. And on DTI I had two DAX stop losses (both longs) and FTSE gave me two longs of which one was closed at breakeven and the other ran all the way to 8pm, where I closed it for +2.8%.

Four stops at -1% each and one winning trade for +2.8% left me down on the day overall.

Daily Signals

Jan14-2021-Daily Signals

DTI Strategy

Jan14-2021-DTI

Wednesday Jan 13, 2021

The DAX is in a tenuous descending broadening wedge and testing the wedge resistance at the time of writing. A break to the upside indicates a short-term reversal which can lead to a continuation of the overall bull market. Right now the conditions are terrible for a momentum-based trading strategy like mine.

A pretty shocking day for trading the strategy and signals today. I had to walk away after losing SIX stops, which is never an enjoyable day. But emotions are bad in trading, so I’ve already learnt to leave the negative emotions at the door. A bad day happens, draw a line under it and move on, no time to dwell. Just get on with it. The benefit of not getting emotional is that you contain your poor day and not let it get infinitely worse.
The charts below will illustrate the losses and the signals from today.

Daily Signals

Jan13-2021-Daily Signals

DTI Strategy

Jan13-2021-DTI

Tuesday Jan 12, 2021

An inside day developing today as we continue developing a short-term bearish reaction wave. Despite this, the market remains bullish overall above the 5th January low, ~13,566 as mentioned yesterday.

We hit a nice target this afternoon from this morning’s FTSE trading signal to the downside and two DAX trades filled from the DAX trading signal, one of which was stopped at breakeven and one was stopped out. That FTSE winning trade compensated me for the poor trading conditions and lack of activity on the DTI trading strategy. The strategy was hugging the deviation low for most of the trading session without any retracement back up to VWAP. When I see those conditions, I try to avoid getting into any extra trades. I had an early long on the DAX which was stopped and nothing on FTSE.

Jan12-2021-Daily Signals
Jan12-2021-DTI

Monday Jan 11, 2021

The German DAX remains bullish above the 5th January low, ~13,566 and will remain bullish if we hold that low AND break to a new high, which means a new all time high is required to sustain the bull trend.

As for trading, the morning signals that I release in the premium channel didn’t yield too much today. The DAX short was stopped at breakeven and the FTSE short was stopped out. I didn’t re-open the FTSE short, but you’re welcome to, because in this case it would have hit target on the second attempt. 

So whilst the morning trading signals didn’t yield too much, the trading strategy was amazing today! Congrats to you lot using it. 

Jan11-2021-DTI
Jan11-2021-Daily Signals

DAX Technical Analysis Articles

These are daily DAX analysis articles. I have been watching the German DAX index every day since February 2014, when I quit my job to become a full-time trader. During my quest to become a professional market analyst and trader, I learnt as much about technical analysis as I could. The DAX is my favourite equity index to trade because it responds well to technical analysis tools such as market profile, swing analysis, volume profile, RSI divergence and various other technical indicators. 

dax analysis

Effective DAX Technical Analysis Techniques

The most effective technique to improve your own DAX analysis is to always keep the DAX index price action at the front of your analysis. Always understand how the market moves, and what the most recent trend-defining level is.

I know this analysis sounds simple, but it’s the most overlooked technique by traders and market analysts. There is a common mistake to try to be too advanced sometimes, and this causes us to miss the obvious.

dax analysis