DAX30 Remains Bullish Above 5th Jan Low

Tuesday, Jan 12 and covering the rest of the week
DAX30 Remains Bullish Above 5th Jan Low

These posts are designed to keep a record of both the daily signals that I send and also the trading strategy executions using my DTI software on trading view, available to premium members.

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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