- European indices are weak
- The DE30 tests support a zone of nearly 61.8% retracement
- Beiersdorf sees year-round sales close to the upper end of the forecast
European stock indices are falling in the first session of the new week. Weak US stocks on Friday and weak trade in Asia set the stage for a poor start to the new week in Europe. The Dutch AEX (NED25) performed the worst in Europe today, losing 2.6%. But the leading German (DE30), French CAC 40 (FRA40), Polish WIG20 (W20) and Italian FTSE MIB (ITA40) indexes also recorded minus 2% or more.
Source: xStation 5
The DE30 in Germany continues its downward trend with over 2% decline. The index tested the support zone near the 61.8% retracement of the latest gain, but failed to break below it. The bulls managed to push the price off the daily lows, but the DE30 is deep in the negative every day. Breaking below the above-mentioned mark in the 13,400 area could pave the way for a re-test of the 12,500 low in early March. However, traders should bear in mind that there are several central bank decisions on interest rates ahead of us later this week, including the FOMC and the Bank of England, which can have a big impact on the market sentiment.
Vincent Warnery, CEO Beiersdorf (BEI.DE)He said he expected sales in 2022 to be close to the upper end of the company’s own forecasts. In the medium term, Beiersdorf plans to achieve supra-market organic sales growth and an EBIT margin increase of 50 basis points annually from 2023. Warnery said Beiersdorf will be looking for M&A opportunities to fill the gaps in its offering.
Adidas (ADS.DE) sued his US rival Nike for alleged patent infringement. Adidas says Nike has infringed its patents for mobile apps and shoe customization technology.
DHL, subsidiary German Post (DPW.DE)expects the global supply chain to stabilize in 2023 as port congestion will decrease as more container ships become available and demand from freight forwarders slows down.
The recent uptrend from Beiersdorf (BEI.DE) has died down and the stock has recovered below the upper limit of EUR 94.50-97.50. The bulls, however, are not giving up and today you can see another breakout attempt above $ 97.50. Another area of resistance to watch out for if gains continue is below $ 99.50. Source: xStation 5
Disclosure under 80 WpHG for possible conflict of interest
The author is not currently investing in these securities or underlying instruments.
The authors of the publication collect this information at their own risk. Analyzes and opinions are not written in relation to specific investment goals and the needs of a particular person. XTB publications commenting on specific situations on financial markets and general statements of XTB employees regarding Financial markets, do not constitute and should not be construed as advice to a client by XTB. XTB shall not be liable for any losses arising directly or indirectly from any decision to act related to the content of the Publication.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford the high risk of losing your money. Investment success and past returns do not guarantee future success. The content, newsletters and communications from XTB do not constitute any means of operation of XTB.