看多

Daily 4XSetUps - Huge Trend Reversal Formation Is In Full Swing

2025/02/21 - 8th Calendar Week
Daily 4XSetUps - Huge Trend Reversal Formation Is In Full Swing
“huge trend reversal formation is being contested from bulls & bears!
how far bearish down can it go? when is the bullish formation over?”

Our German DAX fell slightly further at the end of a turbulent trading week. And closed today on this Friday -0.12% in the red at 22,287.56 points. In view of the profit-taking after the recent high, there is a weekly loss of one percent. Since January 6th, the Dax has closed every week with a profit. On Wednesday morning, he had even crowned his month-long record hunt with a high of a good 22,935 points. After +15% in the current year 2025 and an already very strong previous year, investors and/or traders seems to have cashed in. Looking forward to the new conservative federal government under the direction of Friedrich Merz? If yes? With whom? Or does that have nothing to do with it?

Be that as it may, the European EuroStoxx 50 stabilized somewhat on Friday after its recent weakness. However, there was no real buying mood before the new elections in Germany this Sunday. At the close of trading on Friday, the Eurozone leading index was +0.25% higher at 5,474.85 points and was down -0.3% for the week. On Monday, the EuroStoxx reached a record high for the first time in around a quarter of a century and rose further to 5,544 points on Tuesday. European stocks are currently valued more favorably compared to US stocks, which is attractive. From the middle of the week onwards, however, investors and/or traders seem to become more skeptical and take profits, also because tariff fears and inflation concerns, in addition to the geopolitical tensions surrounding Ukraine, continue to be unavoidable. The Swiss SMI showed a little more momentum on Friday, even increasing by +1.10% to 12,948.60 points. His record of 12,997 points dates back to 2022. The British FTSE 100 , on the other hand, closed again with a loss of -0.04% to 8,659.37 points. Its record high is just over a week old. The CAC 40 rose 0.4% to close at 8,155 on Friday, marking a second consecutive session of gains as investors assessed flash PMI data from Europe alongside corporate earnings. Eurozone private sector activity steadied, with France weighing on growth while Germany showed improvement. France’s composite PMI for February signaled the sharpest contraction since September 2023, as services slumped to a 17-month low and manufacturing remained in negative territory. On the corporate front, Air Liquide led gains, rising 3.3% on strong annual results and an upward guidance revision, while STMicroelectronics climbed 1.4% after unveiling a new photonics chip for AI data centers in collaboration with Amazon Web Services. Conversely, Airbus sank 3.1% following weaker-than-expected full-year guidance, fresh charges in its Space and defense divisions, and persistent supply chain issues. Despite Friday’s gains, the CAC 40 ended the week down 0.2%, snapping a six-week winning streak.

“Most of life’s greatest opportunities come out of moments of struggle; it’s up to you to make the most of these tests of creativity and character.”
Ray Dalio

€702.0 : 2025/02/03 - last price action
€701.0 : 2024/01/26 - 1st Bullish GAP Upper Line
€688.8 : 2024/07/23 - Bearish GAP Under Line
€686.7 : 2024/01/25 - 1st Bullish GAP Under Line
€683.0 : 2024/09/27 - 2nd Bullish GAP Upper Line
€677.1 : 2024/09/26 - 2nd Bullish GAP Under Line
€674.0 : 2024/07/24 - Bearish GAP Upper Line
A huge trend reversal formation is in full swing in the case of the price action of the MC1 share - but things are not looking very good at the moment! Why? Traders and/or investors are finding it difficult to keep the price action above the €701.0 mark - which represents the 1st Bullish GAP Upper Line, dated January 26th, 2024. Yes, there is even a risk that the share price could fall to as much as €674.0 and/or even lower. Which would then make this bullish massive reversal pattern obsolete. Because this is the Bearish GAP Under Line, as of July 24, 2024. And a price action below this can be seen as bearish again! But no surrender from us bulls. Why? Because after the penultimate quarterly results and the last quarterly results, we also experienced a trend reversal formation at even lower levels. When traders and/or investors also agreed on 2 bullish and 1 bearish GAP among themselves. Nevertheless, I don't want to sugarcoat anything at this point - I just want to give us bulls time. In both cases the numbers were better than before - but expectations were not met. Therefore fundamentally bullish - sentiment bearish. That's why wait - and/or don't lose patience. In any case, operate with target prices and/or stop trips - (not) independent of which I formulated. Because the luxury conglomerate's shares are really, really volatile.

------------------------------------------------
€800.0 : 2025/06/30 - Target Price
------------------------------------------------
€702.0 : 2025/02/03 - last price action
€684.0 : 2025/01/06 - Entry Price
------------------------------------------------
€550.0 : 2025/06/30 - Stop Price
------------------------------------------------

Have a good time
- regardless of the price action!
Aaron

“daily 4XSetUps - …” is pure information material!
By trying to give you even more information about some trading capabilities to trade and/or invest in some securities. This post is not a call to action - it only provides information. You decide (not) to decide. Even if I am writing daily 4XSetUps with concrete entry prices, target prices and/or also stop prices! It is like it is - like I said; You decide to respond to the analysis I just formulated to buy, to sell, or to do nothing! More information about my approaches to investing in something specific or just trading it, or even just describing it, can be found in the daily "Another 48h - DXY ...! Analysis Post. Where I try to track the price action in DXY every day so that we learn something new daily.