Stock Market 2022 forecast trend analysis Frankfurt Dax future Index

Dax future today
forexgann

Stock Market forecast 2022 trend for the month of March-April

Stock Market forecast 2022 analysis of the trend in the short and long term using the temporal cycles of the American economist W.D. Gann.

Dax Stock Market Chart

stock market forecast 2022
Dax Index weekly

German Stock Market today

The lateral trend that characterized the period between June 2021 and January 2022 ended in the weekly Set Up of February 04 last.

We have commented in previous reports how the Frankfurt Index has progressively abandoned its Natural Drift to achieve a distribution dynamic since the temporal cycle expired on 18 June 2021.

The various static Octave resistances set at 15,480 and 15,720, visible on the slide with upper horizontal lines in blue, slowed down the propulsive action that instead characterized other European and American Indices.

The Maximum Square expiring the week of February 04 led to the abandonment of the 1X2 ascending angular support visible as a yellow vector and originating in the week of October 30, 2020.

This dynamic support had supported the up trend in the December-January period, but was definitively abandoned, to start a new corrective phase.

The negative infringement of the weekly Set Up of 25 February 2022 has further accelerated the downward phase, as anticipated in the previous report:

the Frankfurt Index hit 12,961 last week, further indicating ongoing negativity.

Upcoming supports in area 12,000; 11,350.

Only the return above 14.540 will re-establish a new positive lateral trend: resistances in the 13.400 area.

Frankfurt Index Stock Market trend

future Dax forecast 2022
Dax Index monthly 2022

The distribution period of the German market is visible also in the medium term. It is mainly caused by the price-time ratio consisting of the 1X1 Zero angular vectors, which in the photo just above are visible as red vectors in the upper part of the chart.

These angles hinder the growth of the Dax also throughout the 2019 and together with the monthly Set Up of February 2020 caused the collapse of the Index in the 8,255 area.

The medium-term dynamics are therefore corrective with first supports in area ​12,390; 11,260.

Only the return above 14,500 will indicate a change in the trend in the medium term.

Dax Future quarterly

Frankfurt Index Stock Market trend
Dax Index quarterly 2022

The Dax Index quotations on the quarterly time frame have reached the median line of the ascending corridor constituted by the 1X2 angle in yellow color.

As can be noted, this resistance repelled the bullish attack in the previous periods of June 2015, August 2018 and March 2022.

The negative dynamics will have as additional static and angular supports area 11,300.

Trading on the Stock Market and graphical software

Not all the stock market indices produce the same returns in the same time frame.

In fact, the German Stock Market compared to the French, Italian or American one showed lower returns.

Thanks to the Gann technique it was possible to understand how the relationship of the three dimensions price, time, volume generate in some areas some points of  strengths that cause trend inversions or periods of laterality.

In particular we have seen in the period of 2019 how the ascending force has been continuously hampered, with the strong correction started in February 2020 and in the last two quarters of 2022.

It is possible to apply the theory of the American economist thanks to the Top Trader© Stock Market software.

The computer software is equipped with all the utilities to create the technical framework and be able to manage the opening of a trade or investment on the Stock Market.

In addition, the strategies between stock and plain Vanilla Options Call and Put can be used for hedging and speculative operations.

The platform is in fact equipped with graphs of the various pay-offs both static and dynamic with the use of the Greek and with the possibility of manipulating the curvature of the implied volatility.

Comments are closed

Check Also

Books on online trading and Forex how to do trading using Gann’s technique

Books on online trading and Forex how to do trading using Gann’s technique Books on online…