DAX buying the dips at the blue box area
Hello fellow traders. In this article we’re going to take a quick look at the Elliott Wave charts of DAX published in members area of the website. DAX is showing impulsive bullish sequences in the cycle from the September 2022 low. Recently we got a 3 waves pull back that has ended right at the Blue Box zone (our buying area). In the further text we are going to explain the Elliott Wave Forecast and trading setup.
DAX Elliott Wave 4 hour chart 07.06.2022
DAX remains bullish against the 14458.39 pivot. The Index is currently giving us pull back in 3 waves that are reaching extreme area at 15494.5-15054.1 blue box ( buying zone) . We don’t recommend selling it and prefer the long side. DAX index should ideally make a rally toward new highs or 3 waves bounce alternatively .As our members know Blue boxes are based on 100% – 161.8% Fibonacci extension area , that we trade in 3, 7, or 11 swing corrective sequence. Once bounce reaches 50 Fibs against the B red high , we will make long position risk free ( put SL at BE) and take partial profits. Invalidation for the long trades is break of 1.618 fib ext : 15054.1
DAX Elliott Wave 4 hour chart 07.13.2022
DAX made very good reaction from our buying zone. The index has reached and exceeded 50 fibs against the B red high. So members who took the long trade are enjoying profits now in a risk free positions. We would like to see break of (3) blue high, to confirm next leg up is in progress.
Author
Elliott Wave Forecast Team
ElliottWave-Forecast.com
