06 m5 Dax Chart

Dax Technical Analysis 29/10/2015

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Good morning traders!

No surprises from FOMC in regards to the interest rate decision, with the committee deciding to keep rates unchanged to help the economy overcome weaker global demand. However they did hint at a lift-off at the next meeting, in December, which created a wave of USD buying and volatility across most markets, and such hawkish tones suggest that they are more comfortable with future prospects.

The Dax smashed through some resistance levels yesterday, for example the 200 day EMA, last week’s high and the daily R2. We are approaching the 11,000 and the upper trend bound from the longer term daily bearish trend channel, both of which may prove to be stubborn to break. I missed the move, I had no trades on, but congratulations to anyone who caught it.

I am finding the 5 minute chart the most interesting at the moment, because I am liking the clean fractal waves. The fractals are based on hourly data, but a Bill Williams fractal trading strategy would have done very well in these circumstances.

For today, I am watching for a couple of scenarios: we may pullback towards the daily pivot and then rally up to the R1. Or we may head straight for the daily R1 and bounce lower on the first test of 11,000. The other scenarios are a full rejection of 11,000 or blasting straight through. Based on the fact that we have created a new fractal, I like to sit and wait for a pullback. I may move my RSI settings to 90 40 to get the buy signal.

In forex I am short EURUSD, EURGBP and long the USDJPY.

In binary options, I have no trades open at the moment, but the signals are still freely available on Twitter

DaxTradeRSI is being updated as we speak and should hopefully be available soon with a trailing stop feature.

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Dax Support & Resistance

KEY LEVELS
Daily R211075
Daily R110991
Daily Pivot10840
Daily S110756
Daily S210605
200 Day SMA10635

Dax Charts

01 Weekly Dax Chart
01 Weekly Dax Chart
02 Daily Dax Chart
02 Daily Dax Chart
03 H4 Dax Chart
03 H4 Dax Chart
05 m30 Dax Chart
05 m30 Dax Chart
06 m5 Dax Chart
06 m5 Dax Chart