DAX shows currently two different scenarios. We will look closer at each of them:
After finishing wave 1, corrective wave 2 appeared which retraced 61.8% of the first one. Currently, we are in wave 3 (market width is correct, but volumes did not confirm it yet). Wave 3 normally is the longest one, so DAX may end up below the 1000pts. level.
After simple ABC correction, DAX moved in upward momentum. The wave 1 was formed, and we are in the middle of the wave 2, which should end in the short-term (it certainly cannot deepen the July’s low). After that we are looking forward to see broader wave 3.
