Contrary to the DOW, I favor another dip in the DAX next week.
I have two counts for the DAX, one is bullish and one is super bearish. Now my indicator found a bearish bat pattern in the DAX. I use this indicator to scan for complex patterns, that I cannot find by eyeballing it. You have to calculate the ratios to be able to determine theese patterns. This indicator does that for me, which is nice.
So I have to favor the bearish sceanrio for now. I am looking to sell on monday, if the 13193 level is not breached (because this would invalidate the pattern).
In Elliott Wave Analysis you almost always favor a second leg down in a corrective pattern like this and we have not seen this second leg down yet.
Remember it is all about probabilities, I will instantly change my mind if 13193 is breached.
I will not miss this end of the year rally. The question right now is: Will we see a second leg down before the start of this rally, or not will the rally begin next week...
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DISCLAIMER: I provide trading ideas using EW and Pattern analysis. The material in this post does not constitute any trading advice whatsoever. This is just the way I see the charts and what my trading ideas are. The author of this post is holding positions in this market at the time of this post. Please conduct your own due diligence, if you plan to copy anyones investment decisions.
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