Mr. Dax – Shorty escaped?

Hello everyone,

the Dax showed us against his intended script: the last uptrend was a wave 4 which we had profitably traded down. The question is: is the correction pattern over, or is there any downforce left?

There are good chances for a turning point, no question, but this I would see not before pushing through 11.009 (minimal requirement), and - with more safety - after climbing above 11.689.

I prefer the green scenario, which you can see in the chart above. For me the corrective pattern down looks not completed yet, so I guess the Dax will go down in the region between 10.300 and 9.800 for a final sell-off to complete wave [4] in my blue trading box. From there we will see a turn up with several thousand points maybe.

A deeper selling down to the level 9.200/9.000 is absolutely possible, but I think it is not very likely at all – at least for the moment.

Please do not hesitate to contact me, if you have any other ideas or questions.

Take care,
tgo