After the recent high in january, we've had small pullback in february for the market to settle down after such a powerful move upwards. I believe we are reaching the crossroads anytime now. 11400-11450 seems to be a very important zone for the future. As long as we are trading above these levels, or have a rejection there, I believe we are looking for another move upwards. If these levels are broken and we have a daily close below, we could be looking at a major pullback down to 10500 in the future.
What I am sticking with now is that the recent highs we've had was too expensive for institutionals to buy and therefore went bearish. As we've reached lower levels, they might be looking to buy. The Xetra report is published on wednesday so it remains to be seen how they are acting.
The arrows I've drawn are a very rough estimate, expect bigger pullbacks than what the arrows display.
What I am sticking with now is that the recent highs we've had was too expensive for institutionals to buy and therefore went bearish. As we've reached lower levels, they might be looking to buy. The Xetra report is published on wednesday so it remains to be seen how they are acting.
The arrows I've drawn are a very rough estimate, expect bigger pullbacks than what the arrows display.