Good morning traders!
Let’s brace ourselves for the open. More to come, watch this space.
Talks stumble, the bears will be loving life at the moment and it seems possible that the open will see some selling. Unless something happens between now and 0700GMT.
I will update with more in the morning.[info]Part Two 9:46GMT[/info]
I may have been a little over cautious of the open this morning. I was half expecting to see a rapid sell off due to the outcome of talks last night and this morning they announce that the morning meeting would be postponed until this evening. So even though time is running out, they can afford to postpone would could be one of the last meetings available to get this deal done.
We are currently trading just under 11500 which was the high of yesterday afternoon and are halfway between the daily pivot and R1. My automatic trader opened another Dax trade (long) so I am now sat on 4 open long trades. I know my rules say no more than two, but this software is still being tested so I will accept a few rule bends.
We have re-broken above the of the 11th June high and are now also above the bearish trend line (using points 10 April to 22 May). Yesterday I showed a four hour chart reaching the underside of the trendline from October 2014 and now we can clearly see the rejection from that line.
As I have typed this I have noticed another strong surge forwards in the Dax and we are now above 11500, in fact we touched as high as 11539 which triggered a couple of take profit targets on my auto trader and my results look pretty healthy at the moment. Have a look for yourself (click the “subscribe” button on the right).
Today, again, I am not manually trading my real account (if I can help it). I have a long Dax position and I am going to sit with it and potentially add if we see any more volatility. I am targeting 12,000 with a wide stop to let it breathe. Some may laugh at me for thinking it’s possible, some may ridicule, but I like the look of the fundamentals, despite the current irritants from Greece and the fundamentals should always lead trade decisions in my opinion.
Dax Support & Resistance
|200 Day EMA||10861|