My anticipation from yesterday didn't work out. The convergence got denied and was ruled out by the price action. The daily chart shows that the market reached the sustainable bull zone and the drop was held by the bullish support zone. In this zone a nice bullish slingshot was triggered and already reached the minimum target (new local high) on Tuesday.
Right now the structure and the momentum on the daily time frame may suggest a bullish continuation with a possible nice BuSS + convergence combination seutp, but the parallel channel is still remaining a resistance. Until then I expect that the market is still going to be ranging. Opening on Monday should give an indication on what the market wants, because it is still at an intersection. The upward movement on the weekly chart is still within the corrective channel. I think that the market will collect some buying power and make a smaller correction, creating a HH-HL series even in a bullish scenario. We'll see...
|DAX30 (CFD) - daily chart|
|DAX30 (CFD) - weekly chart|
The market reached a new ATH. The big picture (monthly chart) definitely looks bullish. Lower time frames can get a bit shaky though.
The weekly chart shows that the market tries to break out of a corrective channel. The momentum is still in a neutral area. In my opinion the market is a range based on the daily chart. The momentum failed to reach sustainable bull zone (yet), the momentum of the drop was stopped in the bullish support zone and the price is still above the preceding wave iv. But I think this drop on the 4 hours chart looks impulsive and formed a leading diagonal. So I think next week the market will test the lower line of the rang
|DJ30 (CFD) - weekly chart|
|DJ30 (CFD) - Daily chart|
|DJ30 (CFD) - 4 hours chart|