Good morning traders!
Shorter article than normal today.
Yesterday we were a quarter percent down on the day after a neutral doji from Friday, but we only traded in a 54 point range and that is half the daily ATR. So it’s slightly unusual price action at the moment. Be aware also that there is bearish divergence on the daily chart – a strong selling signal (for swing traders) and allows traders to take a short from current levels with a stop above the 2017-high looking to target a deeper correction back below 11900.
The overall trend, however, is still technically bullish above 11900, with first major resistance at 12190 and the DaxTrader algorithm is bullish and looking for opportunities to buy.
On the shorter time frames we are trapped in a small range, with price action compressing and not moving very far, the Bollinger bands are beginning to pinch and as we often find, in these situations, a breakout is likely to occur so keep an eye out for that. I watching a reaction between 11995-12045 as there may be a low volume pocket here.
We have no signals open at the moment, we pretty much broke even yesterday, perhaps 4 points up overall, but only two Dax trades were executed (both longs).
03 H1 Dax Chart
DaxTrader Signals
If you’re interested in receiving live trading signals for the Dax, come and join the community. Three months of signals will cost £94 and can be purchased using this link: https://www.paypal.me/DaxTrader54/94 . In the meantime come and join my broadcast channel on Telegram messenger, it’s here that I broadcast additional Dax analysis and messages to my readers and subscribers. For the rest of the month, it is very easy to get access, please download the Telegram messenger (from www.telegram.org) and then click this link: https://t.me/joinchat/AAAAAEAypsW3Xet_6ngBlw
Dax Support & Resistance
| KEY LEVELS | |
| Daily R2 | 12170 |
| Daily R1 | 12122 |
| Daily Pivot | 12070 |
| Daily S1 | 12022 |
| Daily S2 | 11969 |
| 200 Day EMA | 11069 |
