{"id":213096,"date":"2024-07-20T07:00:00","date_gmt":"2024-07-20T14:00:00","guid":{"rendered":"https:\/\/www.brookstradingcourse.com\/?p=213096"},"modified":"2024-07-20T02:11:40","modified_gmt":"2024-07-20T09:11:40","slug":"dax-40-bear-surprise-reversal","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/es\/analysis\/dax-40-bear-surprise-reversal\/","title":{"rendered":"DAX 40 Bear Surprise, 5 Reversals, at MA in Bull Channel"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Market Overview: DAX 40 Futures<\/h2>\n\n\n\n<p><strong>DAX futures<\/strong> went lower last week, with a bear surprise bar closing near its low. A strong reversal at the end of last week, and there should be a bit more sideways to down after. The bulls failed to get strong buying for a new high, so we will likely oscillate around these big round numbers further.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">DAX 40 Futures<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Weekly<\/em> DAX chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Bear-Surprise-5-Reversals-at-MA-in-Bull-Channel.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1920\" height=\"1080\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Bear-Surprise-5-Reversals-at-MA-in-Bull-Channel.jpg\" alt=\"DAX 40 Bear Surprise, 5 Reversals, at MA in Bull Channel\" class=\"wp-image-213183\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Bear-Surprise-5-Reversals-at-MA-in-Bull-Channel.jpg 1920w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Bear-Surprise-5-Reversals-at-MA-in-Bull-Channel-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Bear-Surprise-5-Reversals-at-MA-in-Bull-Channel-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Bear-Surprise-5-Reversals-at-MA-in-Bull-Channel-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Bear-Surprise-5-Reversals-at-MA-in-Bull-Channel-1536x864.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/a><figcaption class=\"wp-element-caption\">DAX 40 Bear Surprise, 5 Reversals, at MA in Bull Channel<\/figcaption><\/figure>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <a href=\"https:\/\/www.eurex.com\/ex-en\/markets\/idx\/dax\/DAX-Futures-139902\" rel=\"noopener\">DAX 40 futures<\/a> went lower last week, with a bear surprise closing near its low.<\/li>\n\n\n\n<li>It is a big bar, so traders expect something smaller with a volatility contraction next week.<\/li>\n\n\n\n<li>The double surprise would be if it got more follow-through down.<\/li>\n\n\n\n<li>Bulls had 4 bars up, so they likely expect one more bar next week. <\/li>\n\n\n\n<li>Because of inertia, buying the MA in a bull channel is a high-probability trade.<\/li>\n\n\n\n<li>Traders bought 18000 last time; will they buy it again?<\/li>\n\n\n\n<li>The bears see two shots at 19000 big round number.<\/li>\n\n\n\n<li>The bulls had a bull channel and 3 legs up. The bears triggered a weak reversal signal bar that went a long way back to 18000. So, it was reasonable that bulls were ready to sell out of their longs.<\/li>\n\n\n\n<li>The channel is quite tight. So, it is unclear what trendline was broken. I suspect we will go sideways to up from here.<\/li>\n\n\n\n<li>Bears still haven&#8217;t closed a bar across the moving average, so it&#8217;s not that bearish yet.<\/li>\n\n\n\n<li>Bears are selling above bars, and bulls are buying below bars.<\/li>\n\n\n\n<li>However, last week, it closed at its lowest, so it&#8217;s better to wait to see the FT before buying.<\/li>\n\n\n\n<li>Bulls see a test of the inside bar long entry that went at least 2:1.<\/li>\n\n\n\n<li>Before that, it was a bear microchannel, and bears might have sold above it expecting more down and got trapped. So now we are letting them out.<\/li>\n\n\n\n<li>Expect sideways to down next week.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Daily<\/em> DAX chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-full\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Limit-Bears-Scale-in-Broad-Bull-Channel.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1920\" height=\"1080\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Limit-Bears-Scale-in-Broad-Bull-Channel.jpg\" alt=\"DAX 40 Limit Bears Scale in, Broad Bull Channel\" class=\"wp-image-213189\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Limit-Bears-Scale-in-Broad-Bull-Channel.jpg 1920w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Limit-Bears-Scale-in-Broad-Bull-Channel-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Limit-Bears-Scale-in-Broad-Bull-Channel-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Limit-Bears-Scale-in-Broad-Bull-Channel-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Limit-Bears-Scale-in-Broad-Bull-Channel-1536x864.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/a><figcaption class=\"wp-element-caption\">DAX 40 Limit Bears Scale in, Broad Bull Channel<\/figcaption><\/figure>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <a href=\"https:\/\/www.eurex.com\/ex-en\/markets\/idx\/dax\/DAX-Futures-139902\" rel=\"noopener\">DAX 40 futures<\/a> plunged into Friday with a big bear bar closing near its low.<\/li>\n\n\n\n<li>It is a 5-bar bear microchannel and the sixth consecutive lower high-  bad news for bulls.<\/li>\n\n\n\n<li>The bears will expect a second leg sideways to down.<\/li>\n\n\n\n<li>The bulls had three legs up and a wedge bull flag to break above the sell climax, but there weren&#8217;t enough new bulls.<\/li>\n\n\n\n<li>The bulls needed one more bar breakout and follow-through above that sell climax, but the stop was too far away, most likely.<\/li>\n\n\n\n<li>Back down into the lower third of a trading range, so a buy zone, but no signal for bulls yet.<\/li>\n\n\n\n<li>It will likely also find sellers if we go above the prior bar.<\/li>\n\n\n\n<li>Bulls bought the low of that bull spike and will scale in, likely making money on that second entry.<\/li>\n\n\n\n<li>It looks like we will visit 1800 again, so we could just climax there as well.<\/li>\n\n\n\n<li>There are no bears trapped down there who couldn&#8217;t exit breakeven, so it could be all new bears selling and scaling in higher.<\/li>\n\n\n\n<li>It&#8217;s always in short now, with two consecutive big bear bars closing on their lows, below the MA, and below the bull swing point from last week.<\/li>\n\n\n\n<li>Expect sideways to down next week.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Market analysis reports archive<\/h3>\n\n\n\n<p>You can access all weekend reports on the <a rel=\"noreferrer noopener\" class=\"rank-math-link\" href=\"https:\/\/www.brookstradingcourse.com\/blog\/analysis\/\" target=\"_blank\">Market Analysis<\/a> page.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\" \/>\n","protected":false},"excerpt":{"rendered":"<p>Market Overview: DAX 40 Futures DAX futures went lower last week, with a bear surprise bar closing near its low. A strong reversal at the end of last week, and there should be a bit more sideways to down after. The bulls failed to get strong buying for a new high, so we will likely [&hellip;]<\/p>\n","protected":false},"author":10339,"featured_media":213183,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"shadow","_genesis_layout":"","footnotes":""},"categories":[1698,136],"tags":[1700],"class_list":{"0":"post-213096","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-dax-40","8":"category-analysis","9":"tag-dax-40","10":"entry","11":"override","12":"shadow"},"featured_image_src":"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2024\/07\/DAX-40-Bear-Surprise-5-Reversals-at-MA-in-Bull-Channel.jpg","author_info":{"display_name":"Timothy","author_link":"https:\/\/www.brookstradingcourse.com\/es\/author\/timfairweathercagmail-com\/"},"_links":{"self":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/213096","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/users\/10339"}],"replies":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/comments?post=213096"}],"version-history":[{"count":0,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/213096\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/media\/213183"}],"wp:attachment":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/media?parent=213096"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/categories?post=213096"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/tags?post=213096"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}