Dax indicators 2.5.2012

According to to my earlier posts, we are currently consolidating. The range remains unknown even 6750 seems to act as an important support/resistance.

20 day highs vs. lows seems a little bit sloppy at the moment. Could it turn down?

Also Dax cycles seems to be going down.

Dax strength indicator is currently in a consolidation area. I have marked the previous areas by red windows. So, don't expect higher close than 6800 during next be 1-3 weeks. Intraday highs don't matter.

Risk indicator came down as it was supposed to come.

Dax indicators 27.4.2012

In addition to pure technical view, all of the indicators point to higher high.

20 day highs vs. lows pointing up.

Intermediate Dax cycles pointing up.

Dax volume index already made a fulfilled forecast to a climb above 6800. 

I have seen arguments that the average volume has been low, but I cannot see any point in that since the volume seems to be decent.

Dax risk indicator has became quite high. Previously when this indicator has climbed above 70, there hasn't been much room for the upside. It is still expected that Dax could touch 7000 before consolidating. 

3 month's biggest gainer is Man (+20,3%) while the biggest loser is Metro (-20%). At the same time Dax is up +4%.

Currently the correlation between the stocks and index is lowering, which is a good for stock picking and diversifying. Nowadays diversifying doesn't help in a downtrends, but fortunately uptrends still offer great opportunities.

If you read between the lines, the current short term trend seems to be up (for a while...).

Dax 3.8.2011

Individual stocks 1-year performance seems controversial.













Accumulation/Distribution based on the individual stock performance of underlying index suggests very oversold condition.













Another volume based index, Arms Index a.k.a. TRIN, also reveals very oversold condition.













Over 80% of dax companies are trading near their 20-day lows. This suggests good opportinity to short term rebound, or that the short term bottom is near.