Dax : The Index open Positive has been trading positive and yet not come close to 12th of July low which is a good sign for buyers.

The Index is Trading in a Range Bound Market or we can say it is forming a Rectangle Pattern.
If we observe the Pattern the index has tried to break the upside twice but was not followed by the seller who came back in action to take the price back down.

Same was seen at downside of the pattern, index went at the bottom but thye buyer pushed the price back up.

At the bottom recently we are observing a Harami Pattern, which is one of the best reversal patterns seen in candlestick.
I have marked the pattern for reference.

The Index went up after making a Harami Pattern but we saw a divergence on RSI due to which we might see some selling in the index.

The Index is trading in range at upper level, Rectangle is a continuous as well as reversal pattern depending on where the breakout is.
 The Failure Rate of this pattern is less than 13% which is superb, we might not see pullback or throwback maximum time.
Macd is supporting the move it has just crossed above 0 if it is above 0 during upside breakout target can be 30-40. If we see a breakout on downside from -9 it has a tendency of going down to -60, so have a proper look at the breakout and the macd for target.

Breakout Out at any side with the next candle supporting the breakout would be the opportunity to enter the moment.

The target is the height of the rectangle. (30 points)

Advice : Wait for the breakout, Opportunity is great. Superb Pattern formed.

Opportunity Nearby

Jul 13 2021

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