{"id":167938,"date":"2023-01-07T07:00:00","date_gmt":"2023-01-07T15:00:00","guid":{"rendered":"https:\/\/www.brookstradingcourse.com\/?p=167938"},"modified":"2023-01-06T20:44:58","modified_gmt":"2023-01-07T04:44:58","slug":"dax-40-big-bull-breakout","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/pt-br\/analysis\/dax-40-big-bull-breakout\/","title":{"rendered":"DAX 40 Big Bull Breakout: Measuring Gap or Exhaustion Gap?"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Market Overview: DAX 40 Futures<\/h2>\n\n\n\n<p><strong>DAX futures<\/strong> moved higher last week with a DAX 40 big bull breakout bar. It has been non-stop higher since October, and traders want to see if there are buyers above this trading range high. The bears knew they would not get a bear trend but hoped for a trading range. A test of the prior breakout point and reversal down would confirm that. Short-term targets up are the measured move above. Bears want a double top, or higher high major trend reversal but need a bear bar to sell. <\/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\/2023\/01\/DAX-40-Bull-Breakout-Measuring-Gap-or-Exhaustion-Gap.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1920\" height=\"1080\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Measuring-Gap-or-Exhaustion-Gap.jpg\" alt=\"DAX 40 Big Bull Breakout, Measuring Gap or Exhaustion Gap\" class=\"wp-image-167967\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Measuring-Gap-or-Exhaustion-Gap.jpg 1920w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Measuring-Gap-or-Exhaustion-Gap-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Measuring-Gap-or-Exhaustion-Gap-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Measuring-Gap-or-Exhaustion-Gap-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Measuring-Gap-or-Exhaustion-Gap-1536x864.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/a><figcaption class=\"wp-element-caption\">DAX 40 Bull Breakout, Measuring Gap or Exhaustion Gap<\/figcaption><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <a href=\"https:\/\/www.ig.com\/en\/indices\/markets-indices\/germany-40\" target=\"_blank\" rel=\"noreferrer noopener\">DAX 40 futures<\/a> was a big bull breakout bar closing on its high so we might gap up next week.<\/li>\n\n\n\n<li>It is the strongest bar late in a trend, forcing traders to decide whether it is a measuring or exhaustion gap.<\/li>\n\n\n\n<li>Next week is important to see if there is a follow-through.<\/li>\n\n\n\n<li>The bulls see the start of the second leg. A break above a tight bull channel for a measured move. It is a High 1 \/ High 2 buy from just above the moving average, which is a reasonable buy signal.<\/li>\n\n\n\n<li>The bears see a higher high above a breakout point in a trading range. Trading ranges are confusing and often go above and below swing points, while traders bet on failed breakouts.<\/li>\n\n\n\n<li>So, either it will work or not. Bears selling here will sell higher at the measured move targets, betting the pullback will be deeper below the Dec 12<sup>th<\/sup> high and they can scale in and make money.<\/li>\n\n\n\n<li>Bulls will buy the breakout follow-through and look to get out if the reversal has follow-through instead.<\/li>\n\n\n\n<li>Most swing bull traders should wait for a pair of consecutive bull bars closing on their highs before entering.<\/li>\n\n\n\n<li>Look left. March to June was a tight trading range, and we are trying to break above it. It is not unreasonable to expect some strong reversal here, like on Dec 12<sup>th<\/sup>.<\/li>\n\n\n\n<li>Better to be long or flat. We are always in long. We might form a tight channel, wedge top around the prior trading range support line.<\/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\/2023\/01\/DAX-40-Bull-Breakout-Possible-Failed-Final-Flag.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1920\" height=\"1080\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Possible-Failed-Final-Flag.jpg\" alt=\"DAX 40 Bull Breakout, Possible Failed Final Flag\" class=\"wp-image-167963\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Possible-Failed-Final-Flag.jpg 1920w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Possible-Failed-Final-Flag-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Possible-Failed-Final-Flag-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Possible-Failed-Final-Flag-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Possible-Failed-Final-Flag-1536x864.jpg 1536w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/a><figcaption class=\"wp-element-caption\">DAX 40 Bull Breakout, Possible Failed Final Flag<\/figcaption><\/figure>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The <a href=\"https:\/\/www.ig.com\/en\/indices\/markets-indices\/germany-40\" target=\"_blank\" rel=\"noreferrer noopener\">DAX 40 futures<\/a> was a bull bar closing on its high on Friday, so we might gap up on Monday.<\/li>\n\n\n\n<li>Friday went below Thursday, so it was a pullback and a Low 1 sell signal, high in a trading range. So it is low probability and a reasonable opposite (buy) signal.<\/li>\n\n\n\n<li>We are breaking out above the Dec 12<sup>th<\/sup> high, so traders are determining whether this is a measuring or an exhaustion gap.<\/li>\n\n\n\n<li>The bulls see a small pullback bull channel, pullback to the moving average and then a breakout for a second leg sideways to up.<\/li>\n\n\n\n<li>But this leg is stronger than the previous channel, so it might be climactic. A kind of second-leg trap. The bulls want to reach the measured move target above the 15000 Big Figure and the underside of the trading range above.<\/li>\n\n\n\n<li>The bears would see this as a breakout test of that range and have converted the bull trend into a trading range. They will look to sell reasonable reversals to swing back down into the lows of the range.<\/li>\n\n\n\n<li>But the bull trend\/bull leg is strong. The bears failed to break 12000, and we have raced up since. <\/li>\n\n\n\n<li>We are always in long, and with consecutive big bull bars closing on their highs, bulls will also buy pullbacks as the spike converts into a channel.<\/li>\n\n\n\n<li>The bears want this to be a triple top with June and October, but they have failed to maintain control in many months.<\/li>\n\n\n\n<li>Expect sideways to up next week.<\/li>\n\n\n\n<li>Monday is important to see if we get follow-through above this range.<\/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 moved higher last week with a DAX 40 big bull breakout bar. It has been non-stop higher since October, and traders want to see if there are buyers above this trading range high. The bears knew they would not get a bear trend but hoped for a trading [&hellip;]<\/p>\n","protected":false},"author":10339,"featured_media":167967,"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":[1873,1700],"class_list":{"0":"post-167938","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-dax-40","8":"category-analysis","9":"tag-bull-breakout","10":"tag-dax-40","11":"entry","12":"override","13":"shadow"},"featured_image_src":"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2023\/01\/DAX-40-Bull-Breakout-Measuring-Gap-or-Exhaustion-Gap.jpg","author_info":{"display_name":"Timothy","author_link":"https:\/\/www.brookstradingcourse.com\/pt-br\/author\/timfairweathercagmail-com\/"},"_links":{"self":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts\/167938","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/users\/10339"}],"replies":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/comments?post=167938"}],"version-history":[{"count":0,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts\/167938\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/media\/167967"}],"wp:attachment":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/media?parent=167938"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/categories?post=167938"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/tags?post=167938"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}