the German DAX 30 is testing the resistance trend line (red) after strong bullish momentum in the recent price swing. A bullish breakout is expected and confirms a potential wave C (purple).
The DAX 30 could be building an ABC (purple) zigzag pattern and a bullish breakout is aiming for the Fibonacci targets of wave C vs A.
The DAX 30 is moving sideways in a corrective and choppy consolidation, which is typical for a wave 4 (green) pattern. This wave outlook remains valid as long as price stays above the Fibonacci retracement levels of wave 4 vs 3. A bullish breakout is most likely a wave 5 (green) of wave 3 (blue).
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