Dax filled the gap to 6696and should open lower today and perhaps retest this level.
There is a good chance this breaks and we test excellent support and a long term buying opportunity at 6673/69. This support could hold this 2 week correction and bottom out here, so cover all shorts and attempt longs. We may bounce around here for a day or so as we build a base and then rally in to next week. However stops on those longs needed below 6642 for retest of Feb lows and Fibonacci support at 6620/11. Again this support is strong and could be enough to attract longer term buyers so worth attempting longs for the second time. Stops needed however below 6585 for 6550.
Eurostoxx will open lower and should fill the gap down to 2292 then go on to test better support at 2277/67. This is our second major target for this correction lower and there is a strong chance of the market bottoming here. It is unlikely we will get a sharp rally off this point, more of a bounce around to build a base and then a good rally perhaps later in week. Exit all shorts and buy in to
longs here. Being a major level we need to allow some room so stops below 2242. We could then see the market trade down to 2209 and possibly as far as 2195. Buy here again looking for a very significant bounce, with stops below 2180.
Resistance at 2325/31 and then 2343/45. Above here we could reach 2368/69 then 2376/82.