DAX30-GER30 – Bearish Intermediate (C)

12 wrz 2017

DAX30-GER30 has been trading within a Complex Corrective Structure, Primary 4 (blue), as per the previously posted “GER30-DAX – SELL Set-Ups – Stock Exchange Crash” back in May 12, 2017.

On July 26, 2017 we posted the Trend Reversal from the 12000.004r5 Levels, as per the “DAX30 – Stock Exchange Crash – Full Cycle” analysis.

So far so good, we received excellent feedback from some profitable LEWA Members.

August 18, 2017 was the day when we posted the Inverted Head & Shoulders, as per the “DAX-GER30 – Bullish Retracement – Minor C” analysis.

Unfortunately, due to the fake break-out within Minor B (turquoise), our posted trade was stopped at break-even which gave us difficulties in figuring out the actual Structure. Some traders were out as well at break-even, while others took the loss due to the SL being hit. However, some remained Bullish and in the trade, which means that they are actually preparing to take a good profit on that insight.

Daily Chart (picture):

Daily Interactive Chart:

We are under the impression that DAX30-GER30 still has one more Bearish Leg to the downside, as per the Intermediate (C) (purple) (see chart) and that the current Swing to the up-side is limited at these stages. Even if the current Bullish Swing would be heading towards 13300.00 Levels, it would still need to retrace 50-61.8% before continuing higher. The reason behind this is mainly because the Corrective Structure would need to subdivide into Intermediate and Minor degrees in order to be considered as complete.

2H Chart (picture):

2H Interactive Chart:

DAX30-GER30 – Intermediate (B) (purple) - Wave Analysis:

• Minor A (turquoise) commenced a 5 Swings Sequence to the up-side, limited at the previous Vibration Levels located at the Minute IV (red).
• Minor B (turquoise) is showing a Fake Break-Out and a Bear Trap, caused by the Complex WXY (red) Double Three Structure.
• Minor C (turquoise) is preparing to finalize its 5 Swings Structure, with a Bearish Divergence around the corner.

DAX30-GER30 – Minor C (turquoise) - Wave Analysis:

• Minute i (green) stopped at the upper Channel Trend-Line, showing a 5 Swings Sequence and determining the current Up-Trend.
• Minute ii (green) Retraced 50% of Minute i (green), forming a Running Flat Structure.
• Minute iii (green) breached through the Down-Trend Channel, stopping at the 100% Fibonacci Extensions of Minutes i & ii (green).
• Minute iv (green) pulled back with a limitation of 38.2% Fibonacci Retracements of Minute iii (green).
• Minute v (green) is forming a Bearish Divergence with its last Bullish moves, indicating the end of the entire Minor C (turquoise).

Fibonacci Measurements & Projections:

• Intermediate (B) (purple) is expected to end at the 61.8& Fibonacci Extensions of Intermediate (A) (purple).
• Minor C (turquoise) would be expected to finalize at or around the 161.8% Fibonacci Extensions of Minutes i & ii (green), also the 100% Fibonacci Extensions of Minutes iii & iv (green).

DAX30-GER30 – Bearish Intermediate (C) – SELL Positions:

• Aggressive – 12550.00
SL – 12650.00
• Conservative – 12650.00
SL – 12800.00
• Targets – 12300.00 / 12050.00 / 11600.00

Safety Measures:

• When in the green, moving SL to break-even or in profit.
• If Conservative, waiting for Bearish Divergence confirmation.
• If very Conservative, waiting for a Bearish Breach of the pink trend-line and looking for a Flag Formation.

Many pips ahead!