DAX - down in the ST, but looks like a bear trap
DAX looks to be in an extended 5th wave. After finishing it's vicious 3 of 5, it looks like it needs to retrace a bit more to put in a sharp 4, before heading higher to finish the 5 of 5.
So I would expect down near term, but the recent construction looks like a flat, so I don't expect the final high for this leg is in. Funny enough, also spx and eurostoxx50 have the same near term pattern - namely a flat.
The current down move should finish around the 4th wave of wave 3, which is around 10500-10600. Of course, the current flat can be also sideways, so if we start heading higher and overlapping key levels on the shorter timeframes, I would keep an eye out for that. eurostoxx already looks like the flat is complete, if it wants to.
After this a-b-c correction, I expect back up to 11.000-11.200 for the final push.
Good luck!
So I would expect down near term, but the recent construction looks like a flat, so I don't expect the final high for this leg is in. Funny enough, also spx and eurostoxx50 have the same near term pattern - namely a flat.
The current down move should finish around the 4th wave of wave 3, which is around 10500-10600. Of course, the current flat can be also sideways, so if we start heading higher and overlapping key levels on the shorter timeframes, I would keep an eye out for that. eurostoxx already looks like the flat is complete, if it wants to.
After this a-b-c correction, I expect back up to 11.000-11.200 for the final push.
Good luck!
