European indexes recover ground as investors focus on positive data releases

European stocks broadly climbed on Tuesday, recovering from recent downside.
German Factory Orders, pan-euro area YoY Retail Sales beat the street.
Investors shrug off an accelerated decline in MoM Retail Sales.

Joshua Gibson FXStreet

European indexes rebounded on Tuesday, bolstered by market participants focusing on green prints in European economic figures and shrugging off a steeper near-term decline in European Retail Sales in December.

German Factory Orders climbed an unexpected 8.9% in December, well above the forecast flat hold at 0.0% after November saw a downside revision from 0.3%. Pan-euro area annualized Retail Sales also fell less than expected, contracting by -0.8% versus the forecast -0.9%. The previous period also saw a healthy upside revision from -1.1% to -0.4%.

Investors caught a rise in bids after better-than-expected earnings from energy sector stocks, and renewed discussions of support for equities from Chinese authorities helped to further bolster equities exposed to trade with China.

The pan-European STOXX600-major equity index climbed over 3 points, gaining 0.63% on Tuesday and ending at €486.76. London’s FTSE index gained 0.9% on the day, ending up 68 points at £7,681.00.

France’s CAC40 also climbed 49 points to edge up 0.65%, closing at €7,638.97 while Germany’s DAX index finished at a record €17,033.24 after climbing nearly 130 points to gain 0.76% on the day.

DAX technical outlook

The German DAX broke into a fresh all-time high on Tuesday, crossing the €17,000.00 major handle and etching in a new historical high close of €17,033.24.

The DAX has closed in the green for three straight months, and Monday’s acceleration into the topside cracked into record bids for the German index.

The DAX is now up over 4.3% from January’s swing low into €16,328.29 and over 16.5% from October’s bottom bids near €14,618.09.

DAX hourly chart

DAX daily chart

DAX

Overview
Today last price	17005.47
Today Daily Change	135.64
Today Daily Change %	0.80
Today daily open	16869.83

Trends
Daily SMA20	16721.21
Daily SMA50	16621.01
Daily SMA100	15958.19
Daily SMA200	15941.34

Levels
Previous Daily High	16952.41
Previous Daily Low	16840.8
Previous Weekly High	16985.44
Previous Weekly Low	16803.76
Previous Monthly High	16974.44
Previous Monthly Low	16328.29
Daily Fibonacci 38.2%	16883.44
Daily Fibonacci 61.8%	16909.77
Daily Pivot Point S1	16822.95
Daily Pivot Point S2	16776.07
Daily Pivot Point S3	16711.34
Daily Pivot Point R1	16934.56
Daily Pivot Point R2	16999.29
Daily Pivot Point R3	17046.17

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

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