The DAX soared by 5.67% to end at 11058 on Monday after an effective coronavirus vaccine was reported and markets reacted to Fed Chairman Powell’s encouraging remarks on the FED’s capacity for economic support. On today’s data front, Germany releases May’s Zew economic sentiment figure. Markets will continue monitoring coronavirus and US-China developments while awaiting updates on the EU finance ministers’ virtual meeting. The DAX’s short-term outlook is neutral as it remained bounded by a wide range over the past month with the bears unable to push below 10150 and the bulls unable to exceed the previous high at 11340. A break above 11340 establish a fresh bullish direction while a move below 11040 would lead the DAX to pullback towards lower levels at 11900 and 11800.
Support: 11040 / 10900
Resistance: 11250 / 11340
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