FXStreet (Mumbai) – Germany’s benchmark index, the DAX bounced back sharply after two consecutive session of steep losses as traders viewed the recent fall as excessive and resorted to profit-taking. While PBOC yuan fix for the third day today also had little impact as markets have started to feel comfortable with this new FX development.
Currently, the DAX 30 trades nearly 1.77% higher at 11118, bouncing-off 11k levels. German stocks jumped higher as the exports stock rallied amid stabilizing FX markets post the previous two rocky session led by PBOC yuan devaluation. Also, favourable earnings reports also boosted the index higher.
The index trades with a positive market breadth with the advance-decline ration being 27:3. Fresenius SE is the top gainer, +2.18%, followed by Deutsche Boerse AG up by 2%. On the other hand, RWE AG is the top loser, -6.18% after the utility company backed its full-year forecast after saying its operating profit for the first half fell 11%, missing estimates, as profits at its conventional power generation unit slumped.
DAX Technical Levels
The index has an immediate resistance at 11160. Meanwhile, support is seen at 11k levels and 10890 levels.
(Market News Provided by FXstreet)