Daily - 23.02.2023
New cycle commencing, currently max pain at 14.800 and a huge call position at 15.500.
The previous days showed a small correction which ended up at 23,6%. Usually we need a another leg down. In such scenario the following targets might be assumed:
- 14.782 / 14.557
- 14.705 or 14.530
depending on the structure. Then, from one of the above points, the index could resume an uptrend again.
Right now it is very unclear what the index is creating - this reflects the current sentiment as well (see Frankfurt). Institutional investors have accumulated quiet some positions, and now they have to decide if the cash them in or keep them for further up-move.
We watch closely this weeks close for a potential 'Evening Star' -> below 14.860. Technical indicators are still all green.