Good morning Traders!
Plenty of German press reports today suggested that Greece has amended its reforms list and is expected to present it at the Eurozone meeting on Wednesday. It was also reported that Tsipras has made changes to his team with Varoufakis losing a close ally, suggesting a clearly positive move for Eurozone negotiations, pleasing the Germans, and the Dax. All very positive news which perhaps contributed to the surge this morning.
And there we have it, as swiftly as it arrived, the correction ends and up we go again. Bears would have taken some pleasure in seeing the quick slump to 116xx but it was always going to be difficult [near impossible] to break significantly through the thick web of support. So we have ended up with a dip, and like many many others, I like buying dips in bullish markets.
For the rest of the week, there are a couple of key resistance levels to take out to continue the journey, but congratulations to all those who cut their short positions and jumped back on the long bus.
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Dax Support & Resistance
|34 Hour EMA||11898||56|
|200 Day EMA||10599||15|
I noticed earlier that the 4 hour chart had pierced the channel to the topside suggesting a slow down/pullback before moving further higher. The 30 minute chart shows the channel pointing up but still has room below however the 5 minute chart is looking flat and compressing suggesting a breakout. I would be buying again from 11900.
Strong bullish candle closed just short of last weeks high on the daily chart. We are holding the 11574 extension which is key. Now I will watch for a break above last week’s high and 11180.
Three levels of resistance to take out above us, still plenty of support below on the 4 hour chart.
We have reached the weekly R1 already. A break above yesterday’s high and last week’s high could be a good entry for me.
I will look at buying from 11900 or a break above previous high.
A drop down to YVAH is not a bad position to buy
8 signals generated yesterday, 4 trades taken from those signals.
13 trades open right now (details below)
4 closed today (details below)
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