Could DAX30 Broke Above the Current Range?The momentum of the index has increased since the middle of August. But yesterday was a particularly bearish day for the German auto sector, as the markets responded to negative chatter from Beijing on trade.
The DAX30 index remains stuck in a narrow 13,100 - 13,300 range that has been in place for almost two weeks. The sideways consolidation can continue for some more time and the DAX is likely to break above 13,300 and resume its upside trend towards 13,400 - 13,500 eventually.
But until that happen the preferred trading strategy is Sells on the upper border of the range or Buys at the bottom limit. Today the price already tested the upper border of the Bollinger Bands and retreated. Now we expecting the price to test most probably the H4 50-day moving average at 13,115. If the DAX broke bellow it and under the downward line of Bollinger Bands, the bears could go further downside to the 23.6% Fibonacci retracement of the rally from October 4 to November 12 at 12,970.
The German Bundesbank’s monthly report warned that Q4 growth could stagnate, but with only a slight risk of a prolonged recession. There are no major data releases scheduled for today. A lack of stats will leave the major German index in the hands of risk sentiment throughout the day. Geopolitics continues to be the key driver, with updates from the U.S and China on trade talks in focus.
Indexes
DJIA Stay In A Risk-On MoodUS equities rallied last week to new record levels with the Dow Jones Industrial Average breaching 28,000 for the first time. Soft economic data, Trump’s impeachment hearing, Hong Kong protests, and Middle East unrest were all considered secondary factors in investment decisions.
Today European stocks kick off a new week a little flat, with more talks between the US and China failing to excite investors in the way they have been recently.
So, what now? With the economic calendar being empty to during the start of the week, any trade updates will dictate the mood in markets. As things around the trade talks stand optimistic, the Dow is set to hold above the 28K level at the open. The market is trading on the strong side of an uptrending Gann angle from the 25,743 main bottom on October 3. Look for the uptrend to continue as long as the Dow futures contract holds above this angle.
The 55-day moving average has risen to 26,972 and could provide support if the price begin to fall. A move through 27,400 will shift momentum to the downside. This will not mean the main trend has changed, but it will indicate the selling is greater than the buying at current price levels. While the nearest main bottom 25,743 hold, the uptrend is safe for now.
APPLE: Where is resistance???
buyers keep pushing the market higher.
currently, we are trading on the noman's land.
in my view, the first decent zone of resistance is the 275 - 300 area.
it is based on the projected harmonic movement based on the previous bullish impulse
and 1.272 fib extension.
the retracement can be expected to 240/220 levels.
NASDAQ: Triple Top???
morning traders!
NASDAQ is on its way to retest the market high the third time this year.
103.0 - 106.0 is a decent area of resistance and bets are high that we will see a retracement from it.
Target levels will be 100 and 96
*also note that the previous daily candle was quite strong
for this reason, it is preferable to wait for a confirmation before taking action.
no matter what is your approach is, stop should be strictly set above the underlined resistance area.
Fourth time's the charm for SPX?While the FOMO effect kicks in for equities, the US indexes are making new fresh highs in the midst of renewed trading war uncertainty. Lower rates are indeed boosting stocks, but we are coming closer to a point where things may turn South at least for the near-term.
SPX has more room to go up, but I would expect the movement to be limited at the marked point.
SPY: Where to sell???
hey traders,
3130 - 3160 is a decent resistance area.
I will be looking for a short trade from this area.
The price might retrace to a recently broken structure level 3030
and continue falling bit lower to 2980 before further bullish continuation.
!Trade only with confirmation!
DAX: Close to all time's high
DAX is on its way to retest all time's market high.
I think that this time we may see a fake structure violation before the retracement from the underlined resistance.
Pay close attention to the market when it enters the underlined area and look for a "W" formation to open short.
*I am not suggesting to catch a big wave.
Just a small retracement to a recent structure.
Target level will be 1.275
profit protection after 1.3
DAX: Close to all time's high
DAX is on its way to retest all time's market high.
I think that this time we may see a fake structure violation before the retracement from the underlined resistance.
Pay close attention to the market when it enters the underlined area and look for a "W" formation to open short.
*I am not suggesting to catch a big wave.
Just a small retracement to a recent structure.
Target level will be 1.275
profit protection after 1.3
GOLD Within Ascending Triangle! What to do???
hey traders,
though many traders started buying gold this Friday
we should remember that technically the market is still trading within the ascending triangle formation.
Chances are still high that the solid resistance of the triangle will be respected and consolidation will continue.
So if you are looking for a true signal, better to wait for a confirmed breakout and only then act accordingly.
Pay close attention to the 1518-1520 range and remember that currently, it is a resort for sellers.
good luck and please, support the idea with like!
DXY: Dollar Keeps Falling
This week the index broke and closed below the rising correctional movement
and we see a new lower low lower close.
Now bears will keep pushing the market lower.
The first zone from where we can expect a pullback is 96.4 - 96.8.
Pay close attention to this zone and watch the market reaction.
DXY: Dollar Keeps Falling
This week the index broke and closed below the rising correctional movement
and we see a new lower low lower close.
Now bears will keep pushing the market lower.
The first zone from where we can expect a pullback is 96.4 - 96.8.
Pay close attention to this zone and watch the market reaction.
NATGAS: Buying Volumes Accumulate BUT ...
Natural gas is on its way to a major structure resistance area.
For many days bulls keep pushing the market without any pullback and
I believe that we will see a retracement from the identified area.
I will be looking for a reversal formation on a lower timeframe to sell the market.
Target level will be 2.5
GOLD: Important Warning!!!
this is my weekly update for gold .
currently, I don't have any active position.
However, based on the question that I received this morning
I see that many traders missed yesterday's selling rally and still want to jump in.
Analyzing structure on the left, we can easily notice that gold has reached a key support level .
+we see a formation of a dodji candle and multiple rejections.
For this reason, I think it is late to sell the market,
I think the price will retrace from the identified support.
*If you want more ideas on gold , please, support the idea with like and leave a comment, thanks :)
DXY: Good days for dollar!
hey traders,
weekly update for dollar index .
the market has started a correction cycle and for the last two weeks, we see a steady bullish movement.
I still believe that bulls have much space to push the index even higher before we see a bearish continuation.
The first supply zone that I will pay my attention to is between 98.0 - 98.4 levels.
as always, our confirmation is the bearish violation of a rising channel.
DXY: Good days for dollar!
hey traders,
weekly update for dollar index.
the market has started a correction cycle and for the last two weeks, we see a steady bullish movement.
I still believe that bulls have much space to push the index even higher before we see a bearish continuation.
The first supply zone that I will pay my attention to is between 98.0 - 98.4 levels.
as always, our confirmation is the bearish violation of a rising channel.