Major support- 11800
DAX30 has formed a minor bottom around 11864 and jumped more than 3.5%. It hits high of 12077 and is currently trading around 12038. The jump in European markets was mainly due to
- ECB decided to keep rates unchanged till mid 2020 and said that it is considering further stimulus to counter risk on account of trade war
- The central bank has also announced new TLTRO which will be useful to banks, financial institutions.
On the lower side, any break below 11800 confirms major weakness. Any violation below 11800 will drag the index to next level 11675 (100- day MA)/11360/11276.
The near term resistance is around 12120 and any break above targets 12315/12454. The index should break above 12500 for further direction.
It is good to buy on dips around 11925-950 with SL around 11750 for the TP of 12320/12480.
