Dax Technical Analysis 25/02/2015

Good morning traders! Simple report today.

Well, here is the obvious bit. Yes we are overbought, yes we are expensive, but this market wants to go one way right now and that is up. So instead of the usual format of report, I have suggested a few buying ideas to consider.

I think we are bullish so long as we trade above 10950 and I struggle to see price down there for the moment. Of course, if something unexpected happens, then so be it, but fears could be parked temporarily and we are soon to commence the proper money printing. We are at record highs and momentum is strong, it won’t last forever, but dip buying could be a great strategy.

Dax Intra-day chart (1 minute)

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If we pull a fibonacci retracement tool from the most recent swing we have a possible buy zone between 11144 – 11175. The swing was identified using fractals from an hourly chart. This assumes that we actually get a pullback from current levels. That’s one option.

Dax Intra-day Chart (1 minute)
Dax Intra-day Chart (1 minute)

Dax Intra-day Chart (5 minutes)

[wp_ad_camp_1] This chart shows five potential buying areas based on areas of recent significance highlighted by the light black ‘blobs’ with horizontal lines indicating the price levels. (Ignore the volume indicator at the bottom) They include previous highs that were broken and also considers a breakout above the recent highs.

Dax Intra-day Chart (5 minute)
Dax Intra-day Chart (5 minute)

Dax Volume Profile Chart

[wp_ad_camp_1] The most obvious points on this chart are the huge low volume pocket between around 11150-11180 when price shot through those levels, around about the time of Janet Yellen’s presser. If we take out the value area high from yesterday, 11199 and continue through to 11180, then the likihood is we head back towards the naked vpoc at 11127.

Dax Volume Profile Chart (5 minute)
Dax Volume Profile Chart (5 minute)

Dax Intra-day Chart (30 minute)

[wp_ad_camp_1] The pivot levels have been charted here and I like a buy opportunity from either S1 or S2.

Dax Intra-day Chart (30 minute)
Dax Intra-day Chart (30 minute)
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