Key reversal in the Dax Index...

Discussion in 'Technical Analysis' started by Ubertrader, May 11, 2006.

  1. Could anyone please tell me if todays action in the Dax Index constitutes a key reversal?

    Open was the same as yesterdays close, we then made a higher high before closing below yesterdays this correct?

  2. that would consistitute as a reversal

    watch the price action tomorrow as well

    How is the volume?

    If rally and low volume, that is a great sign, to look for an entry

    If continued selling, that is also fine, but risky to enter
  3. The volume was good today...the 3 highest volume days of the last 10 days have all been on sell-offs.
    I expect a small bounce tomorrow but will sell into it.

  4. OK, I got a PM saying that it wasn't a key reversal (because the open was not above the previous days high, only level with the previous close) but a reversal never the less...

    new question...only on the dax index (not the futures chart) is this now an island cluster?
    we saw the gap on the way up (May 4/5) and now we have the same gap (may11/12) on the way down....I am told this is also a powerful reversal signal.