DAX usually shows very clear Elliott wave structures in the market. 4 Hour chart of DAX shows Index is in a bullish cycle either from Mid-March or Mid-April. Starting from 3.14.2014 low, Index is doing a W-X-Y structure when wave Y is unfolding in 7 swings. Index has already hit our target of Y = W @ 9965 but only showing 5 swings up from X low. Therefore, we like the idea of a pull back in wave (( b )) and another push higher to reach as high as 10155 (1.236 x W ext) to complete wave ( A ). After that Index should correct the rally from 3.14.2014 low in wave ( B ) and turn higher again. We don’t like selling the Index and strategy remains to buy the dips in 3, 7 and 11 swings. Sign up for 14 day Trial to see if we can be of any help.

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