DAX upside remains favored – FXStreet

By FXStreet European indexes closed the day generally lower, with the DAX down by 24 points to end at 9,751.92, weighed by a contraction in the services activity in the region, according to the latest Markit reports.

The EU services PMI fell to its lowest since January 2014, in February, while the French one fell into contraction territory for the first time in over a year. Among the losers was Adidas, down by 1.96% after the sportswear maker reporter a larger than expected Q4 loss of €44 million.

DAX technical outlook

“The daily chart shows that the index is trading within its Wednesday’s range, holding near its recent highs and well above its 20 SMA, while the technical indicators have retreated partially from near overbought levels, not enough to confirm an upcoming decline,” said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the 20 SMA has continued advancing below the current level, and offers a strong dynamic support around 9,620, while the technical indicators have also turned slightly lower, but far above their mid-lines.”

Support levels: 9,692 9,620 9,576. Resistance levels: 9,837 9,924 10,000.
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Source:: FX Street