The Technical Setup on the $DAX Looks Good

This is where we get to find out if we’re all doomed.

But, from the March low, there is a good impulsive rally (orange 1), followed by a retracement that pulled back to a good place for a 2 in May. From there, another non-overlapping rally (green 1), and another pullback, also to a good place for another 2.

We have an inverse whose neckline is also the down trend line. So far we have a breakout and are now backtesting that. So, if the markets are in good shape, this is about where I would expect to see it. A failure here would be pretty grim; a strong rally here would go a long way towards validating the bullish view.


Note: When articles are first published, most of them are made available only to my Patreon supporters (I do try to publish some public posts on occasion). Over time (usually after a period of a few weeks or so), I make all of the work public. To gain access to my work when it is produced (or to join my Discord chatroom), please consider becoming a patron. Note that there is a 7-day free trial period. More information may be found on my About page and on my Patreon page.

Leave a Reply

Your email address will not be published. Required fields are marked *