European stocks hover below five-week high ahead of ECB meeting
European shares fell in early trading on Thursday, as disappointing earnings soured the mood in global markets and traders were cautious ahead of an expected 75 basis point from the European Central Bank.
World stocks were knocked off a five-week high during the Wall Street session on Wednesday after U.S. heavyweights including Microsoft Corp (NASDAQ:MSFT) and Alphabet (NASDAQ:GOOGL) inc reported worse-than-expected earnings.
But Asian markets benefited from speculation among investors that major central banks are considering slowing their aggressive interest hikes, given signs of an economic slowdown.
The Bank of Canada delivered a smaller-than-expected rate hike late on Wednesday.
At 0757 GMT, the MSCI world equity index, which tracks shares in 47 countries, was little changed, holding just below Wednesday’s five-week high.
Europe’s STOXX 600 was down 0.3% on the day, having also been knocked off a five-week high.
London’s FTSE 100 was up 0.3% while Germany’s DAX was down 0.4%.
DAX 40 Technical Analysis: Daily Chart
In the daily charts, DAX 40 is trading in an up channel. DAX 40 is currently trading above all SMA.
RSI is in buying zone which indicates bullishness. MACD is currently above zero which indicates bullishness.
Its immediate support is 12933.12 & the resistance level is at 13205.30.
DAX 40 INDEX will trade in an up channel until there is trend reversal.
How to Trade DAX 40 INDEX this Week:
DAX 40 INDEX will follow the uptrend until there is trend reversal. So, remain bullish on DAX 40 INDEX.