Good morning traders!
We have now broken above the June high and seem to want to now begin building higher. The Greece deal has certainly eased some concerns and allowed traders to concentrate on other factors again. I am bullish and am looking to buy, but think we are currently a little high to enter.
The next major level of resistance is between 11900-12000 and I think we will be reaching those levels at some point. We may well have a pullback first, but soon I suspect we will be seeing those higher levels again. I think we have put in the major low at 10650 and will build from here.
Today we have already passed the daily R2 and this can usually restrict any further movement to the upside, so we may have seen most of the move today already. We are also around the weekly R1.
A quick look at the charts shows us we could use a pullback. The 4 hour chart is overbought, the daily chart on the FXI indicator below shows us at the top of the channel and has given a “3” meaning high probability of us turning direction. So perhaps we can reasonably expect to see a bit of a “selling the fact” pullback and when that happens I will be going long.
Regarding the auto trader, after quite a large hiccup with expanding too quickly and making some mistakes with the trades, I have changed the settings, reduced the markets and will continue to test it.
Dax Support & Resistance
|200 Day SMA||10899|
Inside the kumo cloud, above the fork median line and 200 day EMA and have broken above trend defining level suggesting the start of a new direction.
I will be targeting a pullback to the box to go long.
The FXI indicator below shows a 3 on the daily chart meaning it thinks we are at the top of this wave, the oscillator is overbought and price is towards the top of the channel. The RSI indicator is also approaching overbought.