The DAX soared by 417 points to close at 12847 on Friday as a highly unexpected increase in US job gains boosted global equities and supported hopes of an economic recovery. Meanwhile, Germany’s new stimulus package alongside the ECB’s decision to expand its bond-purchasing program continued to contribute to the index’s rally. In the absence of major economic releases, weekend news of China’s larger than expected trade surplus amid a plunge in imports will set the tone for the day. The DAX’s consistent upward move brought it within spitting distance of the resistance zone at 12880/12950 which had previously held as support from November until the coronavirus-induced crash in February. Until the price breaks below the support zone at 12640/12580, the short-term bullish trend remains in play with a break above 12950 required to extend the uptrend.
Support: 12740 / 12640
Resistance: 12880 / 12950
