What’s next? – DAX 02.11.17

The DAX futures were 1.82 percent into green territory on Thursday at 13,463.5 points, as market players turned their heads into fresh economic data from Germany and the US.

In Europe, Markit Economics will unveil its manufacturing PMI for October as of 08:55 GMT, with a 60.5 points reading on the watch.

Last month’s unemployment rate will be out by the same time, with no changes expected from 5.6 percent. Eurozone’s manufacturing PMI is due at 09:00 GMT, with a 58.6 reading seen.

In the United States, attention will be directed to initial jobless claims at 12:30 GMT, with an estimated build of 2,000 to 235,000. At the same time, markets will receive third-quarter nonfarm productivity and unit labor costs, seen at 2.4 percent and 0.5 percent respectively.

No relevant data was released on Wednesday in Germany or the Eurozone. The German benchmark ended 1.78 percent or 235.94 points higher to 13,465.51. Software, technology and basic resources contributed most gains.

The best performers of the session were Volkswagen, which added 4.78 percent to 163.35, Infineon Technologies rose 4.17 percent to 24.485 and Lufthansa up 2.99 percent to 28.220.

The worst performers of the session were Prosiebensat 1 Media, which dropped 2.59 percent to 29.17, Deutsche Telekom dropped 1.85 percent to 15.35 and Adidas down 1.75 percent 187.7.

From a technical perspective, the index is holding comfortably above 13,300, looking at 13,500 as the next bullish target. However, sellers are expected to offer resistance around 13,450.

For the time being, the 13,250 mark seems to be a solid support. With basically no relevant reports coming in the next few days, focus will likely be at the euro strength.

Fort Financial Services