Trade ideas
DAX index (DAX) | The best scenario for the last climb📝Hello traders, DAX in daily timeframe , this analysis has been prepared in daily timeframe but has been published for a better view in 2 day timeframe.
In counting this index, we counted the main 1 and 2 waves, and from the 3 main waves that we have in mind; Microwaves 1, 2, 3, and 4 are formed, and now we are inside wave 5 of wave 3.
The ratio of microwave 5 to other waves of the main wave 3 is not normal, ie its ascent is shorter than other waves.
Also, the main wave 3 is not in a good position compared to the first wave.
For this reason, we assume that the climb will continue until the ratios confirm each other.
But it must be borne in mind that all these ratios can be fielded and start the downward trend earlier than we expect by breaking the line.
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DAX index (DAX) | The best area to fall🔥Hello traders, DAX in daily timeframe , this analysis has been prepared in daily timeframe but has been published for a better view in 2 day timeframe.
In counting this index, we counted the main 1 and 2 waves, and from the 3 main waves that we have in mind; Microwaves 1, 2, 3, and 4 are formed, and now we are inside wave 5 of wave 3.
The ratio of microwave 5 to the other waves of the main wave 3 is not normal, ie its ascent is shorter than other waves.
Also, the main wave 3 is not in a good position compared to the first wave.
For this reason, we assume that the climb will continue until the ratios confirm each other.
But it must be borne in mind that all these ratios can be fielded and start the downtrend earlier than expected by breaking the line.
🙏If you have an idea that helps me provide a better analysis, I will be happy to write in the comments🙏
❤️Please, support this idea with a like and comment!❤️
DAX index (DAX) | The best scenario for the fall📝Hello traders, DAX in daily timeframe , this analysis has been prepared in daily timeframe but has been published for a better view in 2 day timeframe.
According to the count that has been done. The main waves 1 and 2 in this process of progress are over and now we are in wave 3.
It consists of 3 microwaves 1, 2, 3 and 4 and wave 5 is at the beginning of its motion.
We expect wave 5 to climb to Fibonacci 1.618, which is the ratio of the main wave 3 to the main wave 1, and then wave 4 will start with a complete break of the trend line .
Wave 4 will be deep and long due to wave 2.
🙏If you have an idea that helps me provide a better analysis, I will be happy to write in the comments🙏
❤️Please, support this idea with a like and comment!❤️
Mean Reverting versus Non–Mean Reverting ApproachesMean Reverting versus Non–Mean Reverting Approaches
The type of technical studies employed also depends on the approach taken by
traders and analysts with respect to their personal preferences and biases regarding
the action of price in the markets. Basically, traders either adopt a contrarian
or a momentum‐seeking type approach. Being more contrarian in their approach
implies that they do not usually expect the price to traverse large distances. In fact
they are constantly on the lookout for impending reversals in the markets. In essence,
they expect price to be more mean reverting, returning to an average price
or balance between supply and demand. Those that adopt the mean‐reverting approach
prefer to employ technical studies that help pinpoint levels of overbought
and oversold activity, which includes divergence analysis, regression analysis,
moving average bands, and Bollinger bands. They prefer to trade consolidations
rather than trend action. They normally buy at support and short at resistance.
Limit entry orders are their preferred mode of order entry. Conversely, being more
momentum seeking in their approach implies that they usually expect the price to
traverse large distances and for trends to continue to remain intact. They are constantly
on the lookout for continuation type breakouts in the markets.
In short, they expect price to be more non–mean reverting, where demand creates further
demand and supply creates further supply, both driven by a powerful positive
feedback
cycle. Those that adopt the non–mean reverting approach prefer to em
ploy
technical studies that help pinpoint breakout or trend continuation activity,
which includes chart pattern breakouts, moving average breakouts, Darvas Box
breakouts, and Donchian channel breakouts. They prefer to trade trends rather
than ranging action. They normally short at the breach of support and long at
breach of resistance. Stop entry orders are their preferred mode of entry into the
markets.






















