Chart of the day

DAX's long-term channel is holding the key to the positioning as we go further. It is testing a key upside support, and downside resistance and is giving us the possibility of a two-way trade depending on the bounce higher or a break lower.

I see this still as a finish of the long-term upside five waves and the final short-term fifth wave in progress if we do not see a break below 14500 and we see a confirmed breakout higher above 15300 which is also the falling wedge resistance.

Long trades are favored to be opened here with the stops just below 14300. I prefer the long trade. However, I would be careful if invalidation would come upon a break below 14200 and then the short-trade entries will be needed.