The DAX index edged 0.14% higher to end at 11423. While US-China trade talks has kept market sentiment afloat, global trade tensions has weighed on manufacturing activity evident in the decline of manufacturing PMI figures from Germany and the Eurozone. ECB President Draghi’s speech today takes center stage as investors will seek monetary policy direction alongside the release of Germany’s GDP data and the Eurozone’s CPI figure.
Bullish momentum pushed the DAX towards the resistance at 11480 before retreating to close at 11423. Whilst treading above the 20-period MA around 11380 for support, price will continue to rise with the upper Bollinger band to retest the resistance level at 11480. Failure to take out the resistance at 11480 will generate a sell signal on The Dax Index.
Support: 11380/ 11270
Resistance: 11485/ 11570