For the bulls, important resistance levels exist at €53.45 which coincides with the MA100, also at 53.73 where the MA50 stands now, and finally at the psychological level of €57.47 from the yearly high of May 14th .
For the bears, important support points exist at €50.97 at the latest low of 31st May, also at €49.50 low of 28th January, and finally at €46.20 at the bottom of 19th November 2020.
Private sector PMIs will be in focus today in what is expected to be a busy day in terms of announcements. Stats will include PMIs from the Eurozone, Germany, UK and France. ECB President Christine Lagarde is also expected to provide comments at Hertie School of Governance conference organized by the Jacques Delors Institute.
• European shares closed slightly higher on Tuesday after swinging between gains and losses in somewhat cautious trading as investors awaited testimony from Federal Reserve Chairman Jerome Powell in the House of Representatives.
The Pan European Stokes 600 rose 0.26%. The UK’s FTSE 100 rose 0.39%, Germany’s DAX 0.21% and France’s CAC 40 0.14%, while Switzerland’s SMI was down 0.11%.
• British manufacturers reported the strongest growth in output on record but also expect to raise their prices at the fastest pace in nearly 40 years, according to a survey which adds to signs of growing inflation pressures.
The Confederation of British Industry's monthly index for industrial output growth over the past three months was the highest since the CBI records began in 1975 at +37, helped by the lifting of coronavirus restrictions.
• At 07:30 (GMT) EU German Flash Manufacturing Purchasing Managers Index (PMI) is due. This is a survey of about 800 purchasing managers which asks respondents to rate the relative level of business conditions including employment, production, new orders, prices, supplier deliveries, and inventories.
• At 07:30 (GMT) EU German Flash Services Purchasing Managers Index (PMI) is also due. This indicator measures the level of a diffusion index based on surveyed purchasing managers in the services industry. Released monthly, around 3 weeks into the current month together with the Flash Manufacturing PMI.
• At 08:00 (GMT) EU zone Flash Manufacturing Purchasing Managers Index (PMI) is coming up. This is a survey of about 5,000 purchasing managers which asks respondents to rate the relative level of business conditions including employment, production, new orders, prices, supplier deliveries, and inventories.
• At 08:00 (GMT) EU zone Flash Services Purchasing Managers Index (PMI) is being announced. This indicator measures the level of a diffusion index based on surveyed purchasing managers in the services industry. Released monthly, around 3 weeks into the current month together with the Flash Manufacturing PMI.
• At 08:30 (GMT) UK Flash Manufacturing Purchasing Managers Index (PMI) is expected. This is a survey of about 650 purchasing managers which asks respondents to rate the relative level of business conditions including employment, production, new orders, prices, supplier deliveries, and inventories.
• At 08:30 (GMT) UK Flash Services Purchasing Managers Index (PMI) is also expected. This indicator measures the level of a diffusion index based on surveyed purchasing managers in the services industry. Released monthly, around 3 weeks into the current month together with the Flash Manufacturing PMI.
European indices Yesterday:
• DAX: +0.21%
• EUROSTOXX 50: +0.26%
• FTSEMIB: -0.32%
• CAC40: +0.14%
Sources: Investing.com, forexfactory.com, fxempire.com, businesshala.com