All eurozone benchmarks opened significantly higher on Monday as the momentum on riskier assets remains strongly bullish momentum despite coronavirus cases continuing to rise over the weekend. As explained in previous reports, the recent positive macro data, and potential development of a cure against the virus boosted market sentiment last week. However, the increasingly rapid spread of the virus over the last few days could prompt investors to temporarily slow their exposure to equities this week, or even take some profits, in the expectation of more policy support from central bankers. Having said that, the scenario of a deep downward correction on stock remains unlikely but the risk of a temporary consolidation cannot be ruled out.
The DAX-30 Index is currently one of Europe’s top performers with today’s gains driven by the auto sector, with Daimler, BMW, and Volkswagen top of the table. The market is now dancing around 12,800pts having successfully cleared the zone at 12,500pts. The next major resistance can be found near 12,920pts and a clearing of this level would open the way to an extended rally near 13,550pts and 13,815pts, or in other words to the pre-crisis levels.
Photo by David Von Diemar.
While a student, Pierre Veyret had a passion for the financial markets. At the time, he studied International Trade through the setting up of import / export operations and it was the techniques of hedging against exchange rate risks that helped him to make the link with the financial markets, and all especially that of Forex. It is therefore with the aim of anticipating the price of currencies several months in advance that Pierre quickly turned to different methods of analysis by drawing inspiration and surrounding himself with experts in the field. Shortly after, Pierre decided to specialize in Technical Analysis, a discipline he had the opportunity to practice with real market professionals, thanks to AFATE / IFTA, an association of which he has been an active member for several years. Pierre Veyret is passionate about the field of the financial industry with a particular interest in the various techniques of stock market forecasting. Currently, Pierre is based in the City of London where he works as Chief Analyst. He performs regular interventions on a multitude of asset classes through various media (television, internet and print media).
© 2019 High Leverage FX - All Rights Reserved.
© 2019 High Leverage FX - All Rights Reserved.