The Long Investor

DAX - GERMAN EXCHANGE

Added 2023-03-06 11:22:53 +0000 UTC

You've got to admire the Europeans for their strict adherence to EW Theory, since 2003, the DAX has been following the impulse wave beautifully and even with a black swan event in 2020, this perfectly aligned with Wave 4 and held above Wave 2 to make the count invalid.

I believe the DAX and FTSE are on course for a major correction, both are showing approaching all time highs and their economies are anything but strong right now. Inflation and growth in both countries are a big issue.

What we will likely see with the DAX is a double top to complete Wave B and this will move down to complete Wave C.

The DAX has been disciplined following the count, I have no reason to think it won't continue this formation.

If the DAX completes Wave C as shown, this will be a buy for me.