European stocks are seen opening largely unchanged on Monday as oil held stable and the dollar held near a 10-week high amid safe-haven demand on concerns over corporate earnings, slowdown in global growth and geopolitical uncertainty. German markets ended Friday's session sharply lower in the wake of disappointing earnings from the likes of Amazon.com and Google parent Alphabet. At 11:00AM GMT, Italy's Istat releases producer prices for September. Prices had advanced 5.1% on year in August.
DAX closes above its opening Price after recovering from early selling pressure, finding buyers around 11051. We might see a rebound today to the resistance at 11460 as the bullish momentum continues. However, the trend is still clearly bearish, showing an intact downtrend in the short and medium terms. The RSI looks mixed to bearish. Therefore, the run up might be short lived as sellers will most probably get back in as we reach resistance levels.
Support: 11055 10785
Resistance: 10460 11634