DAX Elliott Wave: 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. As our members know DAX  is showing impulsive bullish sequences and we are keep favoring the long side. Recently we got a 3 waves pull back that has ended right at the Blue Box zone (buying area).  In the further text we are going to explain the Elliott Wave Forecast and trading setup.

DAX Elliott Wave 1 Hour  Chart 06.20.2024

DAX remains bullish against the 17629.4 pivot. The Index has made clear pull back in 3 waves.  The price already reached Extreme zone ( buying area) at 18036.25-17653.97 and giving us reaction. 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. DAX index should ideally make a rally toward new highs or 3 waves bounce alternatively.

Once the price touches the 50 fibs against the ((b)) black connector, we’ll make positions risk-free and set the stop loss at breakeven and book partial profits. Breaking below the 1.618 Fibonacci extension level at 17653.97 would invalidate the trade.

Official trading strategy on How to trade 3, 7, or 11 swing and equal leg is explained in details in Educational Video, available for members viewing inside the membership area.

Quick reminder on how to trade our charts :

Red bearish stamp+ blue box = Selling Setup
Green bullish stamp+ blue box = Buying Setup
Charts with Black stamps are not tradable. 🚫

DAX

DAX Elliott Wave 1 Hour  Chart 07.08.2024

DAX  made a nice reaction from our buying zone. The index has reached and exceeded 50 fibs against the (B) blue 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))) black high, to confirm next leg up is in progress.

Keep in mind that market is dynamic and presented view could have changed in the mean time.  You can check most recent charts in the membership area of the site. Best instruments to trade are those having incomplete bullish or bearish swings sequences. We put them in Sequence Report and best among them are shown in the Live Trading Room

DAX

Source: https://elliottwave-forecast.com/trading/dax-elliott-wave-buying-dips-blue-box-area/