Does the Dax finished its corrective rise?

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does the Dax finished its corrective rise? This is expected for the DAX and then its return to fall again but the corrective rally is over.

This is what we will talk about in this report

All points on the DAX will be clarified

  • First, the DAX dropped from 13380.00 to 13090.00 with a five-year bearish wave
  • Secondly, we expect the index to decline with a five-wave as prices are below the high of 13380.00

Therefore it is preferable to look for a selling point on the index to target the main bottom over the long term

But a break of 13380.00 may continue to rise to 14300.00 and then reverse to the downside again

According to the wave analysis is the last five-way drop?

Yes, the recent decline is pentagonal, so the stability of the recent top at 13380.00 supports further downside

In the daily chart, we will see a clearer decline

We also note that the RSI is overbought on a daily basis and this supports the downside

Therefore, it is preferable to sell as the prices are below 13380.00 at the moment, but in case of breaking this level we expect to complete the rise

  • Daily chart of DAX movement

 corrective rise
corrective rise

In the previous chart we can see the expected movement in more detail if the top holds and supports the downside as shown on the chart

We currently expect the index to have already completed the correction in wave B before completing the fall in wave C downward targeting the bottom five.

  • 4 hour DAX chart

the Dax finished
the Dax finished

In the previous four-hour chart, prices are close to the 100-hour average

  • Conclusion

It is preferable to sell the next period on the index as the prices are below 13380.00 to target the main bottom on the index

In the shorter term, we see a five-wave downtrend, which supports the coming period

Sell recommendation on DAX
Entry: 13125.00
Stop loss: 13380.00
First target: 12800.00
Second goal: 12000.00
Third Goal: 11000.00


Learn more:
Marowa Al Tujjar
Marowa Al Tujjar
مديرة القسم الصحفي - كاتبة و محررة إقتصادية متخصصة بالعملات الرقمية
BC XTB

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