By Claus Andersen
4. Februar 2019
The context in the DAX is trending trading range. A BO then another range. The pullback area I mentioned a week ago ended up a good place to manage shorts and enter longs. The vertical rectangle was a failed BO to both sides. Made a DT and “reset” the whole expectation and probability of a BO. Since price has traded inside that range. I will be looking for the market reaction when the high or low is testet. Market direction is now 50/50 in my opinion.
New support and resistance levels. I drew in some black lines, prior lows and highs. It could be areas to manage trades. There is a shallow bear channel going on. But I would still trade it as a trading range. Sell high – buy low – and scalp.
Have a nice trading week.