The DAX is currently in a recovery phase that appears poised to eventually reach new record levels. The primary technical uncertainty lies in whether the index will undergo a higher-degree A-B-C correction toward the 23,170 to 24,000 zone, or if it will initiate a direct upward ascent. At present, market dynamics suggest a subwave B pullback is underway; once the existing gap is filled, a move toward subwave C is anticipated. While a subsequent rebound might only serve as a temporary wave (B) within an irregular formation, a decisive extension of the current rally could push the index into uncharted territory.
Traders should monitor the unfilled gap from early April as a key indicator for any larger-scale corrective movements.
