Huge rally, huge correction? After this mega wave up (which is hopefully gonna turn out to be a wave 1) a bigger correction is expected.
Right now the Dax has not even corrected 38% in what is likely wave A. A bigger correction seems appropriate and could lead to an insane end of the year rally.
The target zone for wave B is expected to be between 13176 and 13284.
I just opened a long position minutes ago (STOP 12958).
It is not recommended for new traders to be active in a corrective wave like this expected wave B. Much better to sell into wave C, once B is likely done. The risk reward ratio is also not very good on this one. It will be much better when B is done.
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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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