The German Index posted limited gains of 0.08% as markets remain cautious ahead of today’s highlighted events. The Sino-US trade tensions weighing on global growth and Germany’s economy will draw the market’s attention as the two largest economies hold a round of trade talks that will extend until tomorrow. Apart from the crucial trade negotiations, today’s monthly statement from the FED will determine market sentiment and impact price action.
Price action on the German index shifted outside of the support line and is currently ranging within the constricted bollinger bands suggesting an impending change in direction. The price should remain above the support of 11150 to keep the bullish sentiment intact while the resumption of the uptrend will come with the break of resistance at 11320.
Support: 11150/ 11000
Resistance: 11330/ 11420