Get started

Marketstructure

DAX 30 Big PictureThe DAX as a ZigZag correction . Rules of the ZigZag correction . 1. Wave A must be an impulse or Leading Diagonal Triangle ✅ 2. Wave B must be any corrective pattern (ABC) ✅ 3. Wave b does not correct wave A more than 99% ✅ 4. Wave C must be an impulse or Ending diagonal Triangle ❓ 5. Wave C must be at least 70% of wave B from a price perspective ❓ 6. Wave C fails extremely rarely (strong wave C) ❓ Current course . The DAX formed a Leading Diagonal Triangle since the beginning of 2022, which can be represented as an ABCDE or 12345 wave. The DAX was able to break out strongly from the Leading Diagonal Triangle in recent weeks (since October), forming an abc correction. We bounced off the upper trendline. Further course In the last days, the DAX shows first weaknesses and we assume that the DAX has already formed its TOP and now another downtrend follows. If the assumption of the ZigZag correction is correct, now the DAX should form another 12345 structure to the downside, which should hold in the trend channel. There is also still the possibility that the DAX makes a final uptrend until about just above the upper trend line and only then crashes. Depending on how the economic events will develop, we see 2 correction scenarios as likely: 1. the German or European recession comes harder than currently assumed and the DAX corrects below 10,000€. 2. the recession can be halfway cushioned and thus the financial market calms down faster and the DAX forms a bottom at around 10,500 to 11,000€. We currently see the first possibility as more likely due to the economic environment. Interest rates will not be lowered in the foreseeable future. The real estate sector is under massive pressure. Many companies continue to struggle with the huge cost of energy and capital, and a large number of companies are still highly overvalued. A perfect sentiment for a bear market to continue for another 6-12 months. We will keep you posted!
XETR:DAXShort
by Consyder
2
Gold: Ready to Shoot?Gold and Silver is money, everything else is credit – JP Morgan Primary Uptrend This guy is not just flaunting these assets but the primary trend in this chart unearths the truth behind his statement. Really strong trend since our childhood – of course not fully visible due to data limitations. A furious rally started since March 2020 dip and took it to 56191 from 38400 (46%) in just 20 weeks – perhaps the fastest one in absolute terms. Harsh Reaction Like any other bull run, this one also faced a harsh reaction from August 2020. Wiped out almost one-fifth of the gains (21% from top) in a 33week time period. Comparing to Mar2020 rally to the top, this reaction was bit slower in terms of time duration. 46% in 20weeks verses 21% in 33weeks. More than just a Pullback Gold pulled back near 50000 mark and created a psychological resistance zone . The pullback gained momentum after breaking this zone and retested all time high zone. This spike was more than just a pullback. The Second Reaction The second reaction started from March 2022 and ended near the prior psychological level 50000. So, resistance turned into a support. This reaction took 28 weeks but the reaction was just 12% from the March top. Comparing with the Aug2020 reaction, this one lacked momentum on the downside – as reaction was smaller in approximately same time period. The price-time analysis of both the reactions suggest that this time sellers were not very active and buyers were busy in accumulation at lower levels. Small and time consuming reactions with sharp rallies are good omen for investors. A Rally in Momentum The current rally from Sep end 2022 is very swift. The price may face some hurdles near major resistance zone of 56191 to 54789. If the higher low trend persists, there may be further congestion. Theoretically congestions lead to expansions and the bullish nature of the ascending triangle congestion (see chart) signals expansion in the upward direction. If that happens, an immediate target for the triangle could go around 67000. Thanks for reading. Do hit boost/like button as a token for appreciation, so that I write more.
MCX:GOLD1!Long
by Bravetotrade
4
Market sessions and liquidityVolatility is a measure of how much a market moves up and down over time. It's an important factor to consider when trading, because it can have a big impact on your profits (or losses). Liquidity is another important factor to consider when trading. It refers to the ease with which you can buy or sell a security. A liquid market is one where there are plenty of buyers and sellers, and prices don't change too much. A illiquid market is one where there are fewer buyers and sellers, and prices can change dramatically. So, what does market volatility tell you about its participants? Well, it can give you an idea of how confident they are. If a market is volatile, it means that participants are constantly buying and selling, which can be a sign of confidence. On the other hand, if a market is relatively stable, it may mean that participants are content to hold onto their positions for a longer period of time. Volatility can also give you an idea of how informed the participants are. If a market is moving up and down a lot, it means that participants are constantly reacting to new information. In contrast, if a market is relatively stable, it may mean that participants have a good understanding of the underlying conditions and aren't as easily swayed by new information. So, what does market liquidity tell you about its participants? Liquidity is important because it affects how easy it is to buy or sell a security. If a market is liquid, it means that there are plenty of buyers and sellers and prices don't change too much. This can be a sign that participants are confident in the market and expect prices to stay around the same level.
Education
by RobinhoodFX
#AUDJPY sell opportunityPrice clear bearish structure in 1H timeframe, price shows reaction to structural point ( previously acting as a support but now its acting as a resistance area ). Now for a short position we need price to comes up one more time and reject from the area and forming a kind of toping formation like double top which is possible in lower timeframe to be able to sell. Also price taking out liquidity from above the arrow but failing to close above them is another great signal to take a sell position on this pair.
Short
by mohemati
1
#USDCAD another sell opportunityPrice has formed a V-TOP chart pattern formation as you can see in 4H timeframe and also managed to close below 4H low which means that our structure now turned to bearish again. due to V-TOP formation price formed a bearish engulfing candle in Daily timeframe which is a strong signal for bearish move and also as we can see we are in overall in bearish move so we can interpret this daily candle as an continuation signal for higher wave cycle. Now that we have bearish bias we should be looking for areas which potentially price can tap into in lower timeframe like 1H or lower, take out some liquidity and turn to the downside again.
Short
by mohemati
2