Dax, Price action

By Claus Andersen

8. January 2020

15 min chart:

What an opening of the year! Lots of volatility and great swings! It looked like bulls might get a BO to the upside on the open last week (Week 1), but they failed…. Again! That often leads to an attempt by the bears. The bears sold the market strongly and the DAX GER30 dropped 500 points from the overnight high on the 2nd to the low on January 6th. It was over the weekend where Trump killed Soleimani in Irak. Soleimani was a high tier figure in Iran. Do we care? Yes! Why? Because this kind of events kicks the markets and brings volatility with it. Also there can come more unexpected news in the wake of such an event. That means that we have to be prepared with stops and risk management. Expect volatility in the coming weeks.

60 min chart:

In this video( https://youtu.be/N3VLa7S7O5w?t=811 ) I i said that we might get a 50% or 100% expansion of the upper trading range. Price bounced at the 50% area like expected. I love it when price action is this predictable. I also said that we might get a BO from the trading range in the beginning of the year. That is still to come, and I am surprised that we did not get it yet. Let’s see if we get it before Friday. Often when price has traded this long sideways we need a trap to get out of the range. Look for a trap.

Support and resistance was adjusted in the latest YouTube video:


Let’s level up together 📈
Claus Andersen

AIL = Always In Long
BO = Breakout
FBO = Failed Breakout
PB = Pull Back

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