Dax index started the session sharply higher halting three days of loses mirroring Wall Street indices as investors ignore the rising number of coronavirus cases in the USA and the local lockdowns. Germany Exports came in at 9% below the expectations of 13.8% in May. The Imports came in at 3.5% below the expectations of 12% in May. The Trade Balance seasonally adjusted came in at €7.6B, topping the forecasts of €5.2B. The Germany Current Account non seasonally adjusted came down to €6.5B in May from previous €7.7B.
Equities looking tired at current levels but continues to get support from the fiscal and monetary measures despite the rising number of coronavirus cases.
Dax boosted today by SAP +7.21% higher at 139.22 after the company announced that the adjusted operating profit rose 8%, as the Asia and Japan region had a strong recovery in software license sales. Infineon +1.64% higher at 21.69. Adidas is +0.67% higher at 239.30, Siemens is 0.60% higher at 107.20 and BMW is 0.75% higher at 58.86.
Dax Index Daily Technical Analysis
Dax index is 1.29% higher at 12,646, as the index return to the positive ground after three consecutive sessions of loses. The technical outlook is bullish for the index as the ascending channel that started from the March lows drive the index ti higher levels. Only a break below the 200-day SMA can cancel the bullish momentum.
On the upside, initial resistance for the Dax 30 index is at 12,673 the daily high. A move above 12,673 might challenge 12,836 the high from July 6. A break above 12,673 would open the way for 12,916 the high from June 8.
On the flip side, the first support for the Dax index stands at 12,588 the daily low. If the Dax 30 index breaks below 12,588, then the next support is at 12,460 the low from yesterday’s trading session. The next support area will be met at 12,161 the 200-day moving average.