Looking at the H4 chart of the German stock index DAX we may observe a potential ABC simple correction pattern. Last upward wave labeled as C consists of five subwaves. According to the Elliott wave theory this may be the end of the whole corrective pattern.
What is more the fifth wave may create a double top pattern with the top of wave three. If the potential support at 10149 pts. and at the lower limit in a channel is broken we may expect another sell-off.
________
Daniel Kostecki, Chief Analyst Conotoxia Ltd.
Materials, analysis and opinions contained, referenced or provided herein are intended solely for informational and educational purposes. Personal opinion of the author does not represent and should not be constructed as a statement or an investment advice made by Conotoxia Ltd. All indiscriminate reliance on illustrative or informational materials may lead to losses. Past performance is not a reliable indicator of future results.
66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
What is more the fifth wave may create a double top pattern with the top of wave three. If the potential support at 10149 pts. and at the lower limit in a channel is broken we may expect another sell-off.
________
Daniel Kostecki, Chief Analyst Conotoxia Ltd.
Materials, analysis and opinions contained, referenced or provided herein are intended solely for informational and educational purposes. Personal opinion of the author does not represent and should not be constructed as a statement or an investment advice made by Conotoxia Ltd. All indiscriminate reliance on illustrative or informational materials may lead to losses. Past performance is not a reliable indicator of future results.
66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
