Today's MARKET STATE DAX INDEX **BEAR TREND**
- The MKT is in a soft neutral position. On the SELL side UP REVERSAL and FADE strategies with confirmation will be a better option over downside Breakouts, as selling into corrective reactions is the best position. The MKT remains negative but be patient as to not get caught FADING a corrective rise all the way up. DP BREAKOUT strategies are valid opportunities but look to take profits on emotional drops versus getting trail stopped on corrective pull backs.
- On the BUY side DIR and UP BREAKOUT strategies should be looked at as a "one-shot" deal. Either the MKT railroads higher in a steady climb or it’s just a head fake to sell. If you get on a steady advance, ride it until structure is broken. DP and DT1 REVERSAL strategies are valid, as the neutral tone has the potential to produce false signals in either direction. Avoid DP FADE BUYS as the negative trend remains in force.
Today's PRICE MAP Performance for DAX
Wrap Up
Organized chaos in the DAX INDEX FUTURES today as the market played host to an enormous, early-morning sell off. However, JS Traders had the opportunity to capitalize on the trade by identifying market state, structure and strategy coming into the session. The DAX market was in a BEAR TREND market state with the R Level at the UP telling traders to look to get short the market below the R Level. After the faster moving average crossed from above to below the slower moving average, traders had tactical confirmation to accept the SELL DP BREAKOUT trade around 2:45 am CT. As indicated by the black horizontal dashed lines, the market maintained - structure making lower lows and lower highs throughout the session and, for the most part, respected the moving average "resistance band" created by the 21 and 55 period SMA. Our profit target on the DP BREAKOUT strategy is the DT2, which was easily achieved as the market traded as low as the ** minor level at 7494.5.
Organized chaos in the DAX INDEX FUTURES today as the market played host to an enormous, early-morning sell off. However, JS Traders had the opportunity to capitalize on the trade by identifying market state, structure and strategy coming into the session. The DAX market was in a BEAR TREND market state with the R Level at the UP telling traders to look to get short the market below the R Level. After the faster moving average crossed from above to below the slower moving average, traders had tactical confirmation to accept the SELL DP BREAKOUT trade around 2:45 am CT. As indicated by the black horizontal dashed lines, the market maintained - structure making lower lows and lower highs throughout the session and, for the most part, respected the moving average "resistance band" created by the 21 and 55 period SMA. Our profit target on the DP BREAKOUT strategy is the DT2, which was easily achieved as the market traded as low as the ** minor level at 7494.5.
No comments:
Post a Comment