Dax review 17th May 2015

 
 Persistence of that weekly stochastic rolling down and the continued range bound price action suggests the blue Wave 4 may in fact be in play already. The negative divergence on the monthly chart, supports the red wave 5 being in already, although the lower order counts below look like another upside test is due.

The daily stochs look in need of upside relief and the 4hrly suggest this may have already begun late last week. I am looking for a move up to complete a red wave 'b' at about 12000 and then a move down to test that break out zone discussed in previous posts at around 10,000, unless something more complex starts to build. We will see how the weekly stochs look when that area is reached or become oversold earlier. Looks like we have a triangle in the middle of the red wave 'b' for now, so could be a slow start to the week.

Dax Review 10th May 2015

 The UK election results coincided with oversold stochastics on the 4hr chart and although the trend bands are still negative on that timescale, the 60 minute time frame and lower provided plenty of opportunities to go long on Friday. However, with overbought stochs on those timeframes and the 4hr trend band still downhill, a retest of that prior low may provide an opportunity to buy again or at the very least provide clarity on the strength of this move uphill.

Working right to left on the higher timeframes, we can see that the 8hr & daily stochs also appeared oversold, but again with downward facing trend bands. So at this level, the move up on Friday is either part of a retracement or the start of something bigger, in line with my red wave 5 count from last week into blue wave 3 top. If the pull back in the 4hr can hold the low and see the trend bands turn up, an oversold stochastics on the hourly chart after 3 waves down, could be a great place to go long with a secure low to play off. However, the positioning of those weekly and monthly stochastics, have me believing that the blue wave 3 top will see a decent pull back in due course, so new highs will see rigid stop losses! See previous posts for EW counts.

 

Dax Review 3rd May 2015

I have combined the daily & 4hr charts this morning; not a lot of change from my ongoing storyboard or the EW counts on the larger timeframes. The red dashed line at 10250-10500 in the daily highlights the break out zone from the Bollinger cluster and the over bought stochastics have eased somewhat and now showing 3 waves down. The 4hr stochs are looking oversold and the 2SD bollys there sit at 12050.

The monthly & weekly charts show price still traversing the upper boundaries of the green pitchfork within the upper side of the blue, although those weekly stochs look prescient - perhaps read my last post from Armstrong for that October 2015 focus!! I am counting this move off the top as a lower order wave 4 inside the red wave 5 of a blue larger wave 3; so anticipate a new high before a larger correction down, in due course into blue wave 4. The pace of the move still has me believing this is corrective, but as yet, it still looks like it is reaching down albeit in the latter stages, if the 4hr stochastics are anything to go by. If Armstrong's view that all governments are following ECM holds, this ride into the top could continue to be choppy.....for months! We shall see.

The New Age of Economic Totalitarianism & the London Meeting to End Currency

Martin Armstrong getting all steamed up before the October peak: The New Age of Economic Totalitarianism & the London Meeting to End Currency