We were trading in this range for much of November '16 and I was frequently asking "which will we hit first, 10500 or a break above 10830?" Well, the answer was 10500; thanks in part to the uncertainty caused by Italy. Now, however, we have recovered all of the losses and are now way ahead, can we build from here and break out to the upside?
If we look at the volume profile (15-minute chart showing the last month) and focus on the higher volume areas, we can draw these four zones that may act as potential support levels if price breaks lower. The issue with predicting these support levels is the Italian referendum result is likely to cause volatility.
If you were short-term bullish and looking for a long position, this could be interesting. The position requires a pullback to the Value Area Low of this Volume Profile (visible range) before rallying up to recent resistance. The stop loss would be just below the recent lows.
There are two ways you could trade the Dax at the moment, which camp are you in?
Range traders can use Limit orders in the buy/sell zone.
Break-out traders can use Stop orders 30/40 points above/below the range.
This volume profile goes back to the 10/11th November, which makes a slightly narrower value area. It is not providing the most exciting trading opportunity at the moment, but a break could be interesting