Good morning traders!
Another slightly disappointing day based on my expectations from yesterday’s article.
Oil is currently making the headlines at the moment and the Dax rally is definitely slowing down, but for how long? I am long and watching for how we react to 12180 and expecting us to hold it, but we know the Dax. It does whatever it wants to do, consistently punishing traders for being complacent whilst trading it.
Draghi & Co. didn’t really provide anything noteworthy and much of the release was in line with expectations. The US data disappointed and arguably this will still have had a moderate impact on the European markets.
I won’t be trading much for the rest of the week as my positions are already in place, but if you are looking for more signals, then check out @daxtradersignal on twitter or if you are looking for some help with a trading system or strategy, then look up my article on the FXI indicator.
Dax Support & Resistance[wp_ad_camp_1]
|34 Hour EMA||12261||-16|
|200 Day EMA||10452||-16|
The FXI is showing a buy signal on the 30 minute chart, based on the channel touch and oscillator (ignore the trend line).
Two additional down days added to the direction change. I will add a consecutive bars indicator to see it visually for tomorrow.
We have eaten into the first layer of support and closed within the line. I will remove that for tomorrow.
The lines haven’t really been tested today, perhaps I will add another if a fractal is generated.
The line in the sand for a couple of my positions.
Interesting that there is confluence with a couple of the levels here. Trading ranges are compressing a little.