Dax Technical Analysis 21/04/2017

Good morning traders!

A good day for buyers yesterday as the Dax gained 0.54%, ending a 4 day losing streak with a daily candle that reached a lower low and a higher high than the Wednesday candle. The short term trend remain bearish as we stay inside the trend channel visible on the hourly chart chart, however longer term, we are still bullish above 11800. Today the early trading is favouring the downside and sellers are enjoying the inflated prices from yesterday to go short, but the 12,000 has once again been respected. Perhaps in part due to the developing story that Le Pen is falling behind in the polls.

Yesterday I mentioned that price could reach 12100, but instead it fell short around 12064 and the question now is whether or not that high is going to be the latest ‘lower high’ of the technical downtrend, or whether we break above that to reach the 12100 zone. Price sits around the daily pivot right now, so should it move higher to test the 12064 high, this could be an possible place to build from.

Buyers are collecting around the 11975-12000 area, so this could provide an opportunity, should price test these levels. Sellers are collecting around the 12065-12100 zone. We are at the mid point of the Bollinger band, which would have been a good spot to take profits from the re-entry earlier this week.

I am also watching USDJPY (buy signal) and XAUUSD (sell signal).

Regarding signals, it has been very quiet at DaxTrader this week, mainly due to the development of the new signal platform which is nearly ready. But normal service will be resumed very soon. Thank you for your patience.

Dax Support & Resistance

14 Day ATR121.26
Daily R212135
Daily R112087
Daily Pivot12014
Daily S111966
Daily S211893
200 Day EMA11277

Dax Charts

03 H1 Dax Chart
03 H1 Dax Chart
05 Dax m5 Chart
05 Dax m5 Chart