DAX 30 The last technical formation at the index shows a double bottom to the horizontal support at 9614, as the second bar pierced the level, but returns above him. This indicates that buyers have the upper hand over sellers. The crossing of the price above the maximum of the negative bar gives a signal for a new bullish momentum. The formation is reversal of the medium-term correction, this means that the optimism prevails. Yesterday, the index closed over 9747, but well below the top of the daily bar, which gives rise to new long positions from the current levels.
The fore-mentioned formation is used for trading as a strategy “turtle soup”, “trap expert”, etc., which gives a signal for trading long before the activation of the formation “double top”, i.e. before the crossing of the price over the 9874 level.
Double bottom? It is still too early to answer this question. The price broke above 9747, which gave a new bullish signal. Now, after the slight correction of the strong positive momentum yesterday, we have a places for purchases.